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use ias 2 to determine the amount of inventory to report in the balance sheet Historical...

use ias 2 to determine the amount of inventory to report in the balance sheet Historical cost - $50 Current replacement cost - $35 NRV - $45 NRV less normal profit margin - $40 FV - $48

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Answer #1
Historical cost 50
Replacement Cost 35
NRV 45
NRV Less profit 40
FV 48
Market Price 35
amount of inventory to report in the balance sheet 35 (Lower of historical cost an market price)
Note 1: Market price is same as replacement cost, but if replacement cost is more than NRV then NRV will be the market value(as in 1437), Also market price should not be less then NRV-NP.otherwise NRV-Normal profit will be market price (As in Item 1333 and Item 1522)
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