In their financial statements, the enterprises must present

In their financial statements, the enterprises must present:

accounting-services-in-vietnam2a/ Accounting policies applied in the appraisal of inventories, including the method of computing the value of inventories;

b/ The original prices of the total inventories and of each kind of inventories classified in a way suitable to the enterprise;

c/ The value of the inventory price decrease reserve;

d/ The value re-included from the inventory price decrease reserve;

e/ Cases or events resulting in the addition to or re-inclusion from the inventory price decrease reserve;

f/ The book value of inventories (the original price minus (-) the inventory price decrease reserve) already mortgaged or pledged for payable debts.

28. Where the enterprises compute the value of inventories by the Last-in, First-out method, their financial statements must show the difference between the value of inventories presented in the accounting balance sheet and:

a/ The period-end value of inventories, which is calculated by the First-in, First-out method (if this value is lower than the period-end value of inventories calculated by the weighted average method as well as the net realizable value); or

And the period-end value of inventories which is calculated by the weighted average method (if this value is lower than the period-end value of inventories calculated by the First-in, Fist-out method as well as the net realizable value); or

accounting-services-in-vietnam1And the period-end value of inventories which is calculated according to the net realizable value (if this value is lower than the value of inventories calculated by the First-in, First-out method and the weighted average method); or

b/ The period-end current value of inventories on the date the accounting balance sheet is made (if this value is lower than the net realizable value); or, and the net realizable value (if the period-end value of inventories which is calculated according to the net realizable value is lower than the period-end value of inventories which is calculated according to the current value on the date the accounting balance sheet is made).

29. Presentation of inventories costs in the reports on the production and business results, which are classified functionally.

30. Functional classification of costs means that inventories are presented in the section “Original price of goods sold” in the business result reports, including the original price of goods sold, the inventory price decrease reserve, damaged and lost volumes of inventories after subtracting the compensations paid by individuals due to their liabilities, and unallocated general production costs.