Any amount of write-down of inventories to net realisable value should be…
a.
Treated as a deferred expense and written off based on the average inventory holding period.
b.
Recognise as an expense in the period in which the write-down occurs.
c.
Recognised as an expense in the subsequent period in which such write-down is warranted.
d.
Recognized as a current liability in the Statement of Financial Position.
1 answer
b. Recognise as an expense in the period in which the write-down occurs.