Posts Tagged ‘determination and handling’

Controls for Obsolete Inventory Determination and Handling

Posted on January 28th, 2008 by by admin

There is inevitably a certain amount of inventory that will not be used, due to excessive purchasing of raw materials beyond a company’s needs, customers not buying certain items, or assembly requirements no longer calling for par­ticular parts. The most common approach is inattention: letting obsolete in­ventory pile up until external auditors force the company [...]