For each of the following, determine the missing amounts. Purchases Goods Available Cost of Goods Ending Inventory Beginning Inventory P20,000 for Sale Sold (a) P220,000 (b) P40,000 P40,000 P25,000 (c) P250,000 (d)

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Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.