A loss arising from an intragroup transfer of inventories can be regarded as an unrealised loss that will be recovered by the group in a sale to an outside party.

Question

Quizplus · Accepted Answer

Intragroup transfers are internal transactions, and any loss is considered unrealized until the inventory is sold to an external party, at which point the loss may be recovered.

A Loss Arising from an Intragroup Transfer of Inventories Can