20 IAS 2 Inventories defines the extent to which overheads are included in the cost of inventories o

20 IAS 2 Inventories defines the extent to which overheads are included in the cost of inventories of finished goods.

Which of the following statements about the IAS 2 requirements in this area are correct?

1 Finished goods inventories may be valued on the basis of labour and materials cost only, without including overheads.

2 Carriage inwards, but not carriage outwards, should be included in overheads when valuing inventories of finished goods.

3 Factory management costs should be included in fixed overheads allocated to inventories of finished goods.

A All three statements are correct

B 1 and 2 only

C 1 and 3 only

D 2 and 3 only

您可能感兴趣的试题

22 Which of the following items may appear in a company’s statement of changes in equity, according to IAS 1 Presentation of financial statements?

答案解析
23 The capital structure of a company at 30 June 2005 is as follows:

答案解析
24 Sigma’s bank statement shows an overdrawn balance of $38,600 at 30 June 2005. A check against the company’s cash book revealed the following differences:

答案解析
1 Flavours Fine Foods is a leading producer for the food industry, supplying many of Europe’s leading restaurants.

答案解析
(b) Explain in the context of Flavours Fine Foods, what is meant by:

答案解析
(ii) authority; (3 marks)

答案解析