When Determining the Net Realisable Value of Inventory, Estimates Must

question 24

Multiple Choice

When determining the net realisable value of inventory, estimates must be made of the following:
I Estimated costs of completion (if any)
II Expected replacement cost
III Expected selling price
IV Estimated selling costs

• A) I, II, III and IV;
• B) I, II and III only;
• C) II and IV only;
• D) I, III and IV only.

---

Definitions:

Kenya Communications Act

Legislation governing telecommunications and broadcasting services in Kenya, aimed at facilitating the development of the information and communications sector.

Negotiable Instrument

A legal document guaranteeing the payment of a specific amount of money, either on-demand or at a set time, with the payer named on the document.

Legal

Pertaining to the law or the practice of law, involving legal matters, procedures, or documentation.

ATM Card

A plastic card issued by a bank or financial institution to access one's account and withdraw cash from automated teller machines.