Businesses that manage inventory must rely on generally accepted principles of accounting, or GAAP, to assess and plan for their stock levels. Without inventory valuation, it would be difficult for ...

Learn how the specific identification method lets you track individual inventory costs and improve sales insights. Ideal for ...

Small-business owners have several ways to calculate the value of their inventory at any given time. You can use the cost to produce your inventory or one of two selling prices, depending on your ...

Wondering about FIFO vs LIFO? Learn about the two inventory valuation methods and which one is best for you. Many, or all, of the products featured on this page are from our advertising partners who ...

Limited guidance from the IRS and accounting standard-setting bodies has led to a divergence in interpretation and practice for inventory valuation within the scope of business combinations.

As a result, LIFO doesn't provide an accurate or up-to-date value of inventory because the valuation is much lower than inventory items at today's prices. Also, LIFO is not realistic for many ...