The net realisable value of inventory represents selling price less the costs involved in completing and selling the inventory.

Question

Quizplus · Accepted Answer

Net realisable value of inventory is the estimated selling price in the ordinary course of business, less the estimated costs necessary to make the sale. This means it represents the amount of revenue that can be generated by selling the inventory minus the costs associated with completing the sale of the inventory.

The Net Realisable Value of Inventory Represents Selling Price Less