# ASC 330-10-15: Inventory — Overall — 15 Scope and Scope Exceptions

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/330/10/#15-scope-and-scope-exceptions)

Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.

Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure.

Source downloaded (UTC): 2026-09-09T23:50:38.796Z to 2026-09-09T23:50:38.796Z

Record version: sha256:4badf5ea554d9de88b169f70e7a7f485a035061a5f4a1aa25aa48a3597134c57

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


## ASC 330-10-15: 15 Scope and Scope Exceptions

[Read section](https://asc.understandingaccounting.org/asc/330/10/#15-scope-and-scope-exceptions)

SEC content: no

#### Overall Guidance

##### [330-10-15-1](https://asc.understandingaccounting.org/asc/330/10/#330-10-15-1)

Pending content: no

Source downloaded (UTC): 2026-09-09T23:50:38.796Z to 2026-09-09T23:50:38.796Z

Record version: sha256:9c1178cfb0beefe98d3785c0d02a08407c75934b3a053819f5a2570f480fcb73

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


The Scope Section of the Overall Subtopic establishes the pervasive scope for the [Inventory](https://asc.understandingaccounting.org/glossary/i/#inventory "The aggregate of those items of tangible personal property that have any of the following characteristics: Held for sale in the ordinary course of business In process of production for such sale To be currently consumed in the production of goods or services to be available for sale. The term inventory embraces goods awaiting sale (the merchandise of a trading concern and the finished goods of a manufacturer), goods in the course of production (work in process), and goods to be consumed directly or indirectly in production (raw materials and supplies). This definition of inventories excludes long-term assets subject to depreciation accounting, or goods which, when put into use, will be so classified. The fact that a depreciable asset is retired from regular use and held for sale does not indicate that the item should be classified as part of the inventory. Raw materials and supplies purchased for production may be used or consumed for the construction of long-term assets or other purposes not related to production, but the fact that inventory items representing a small portion of the total may not be absorbed ultimately in the production process does not require separate classification. By trade practice, operating materials and supplies of certain types of entities such as oil producers are usually treated as inventory.") Topic.

#### Entities

##### [330-10-15-2](https://asc.understandingaccounting.org/asc/330/10/#330-10-15-2)

Pending content: no

Source downloaded (UTC): 2026-09-09T23:50:38.796Z to 2026-09-09T23:50:38.796Z

Record version: sha256:5d07dfb2c0f9635a18c8243c210ce2e68ce4418e50f6d902e015315d27bf5ca3

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


The guidance in the Inventory Topic applies to all entities, with the following qualifications.

##### [330-10-15-3](https://asc.understandingaccounting.org/asc/330/10/#330-10-15-3)

Pending content: no

Source downloaded (UTC): 2026-09-09T23:50:38.796Z to 2026-09-09T23:50:38.796Z

Record version: sha256:50da4421631e7e4ce16d4977f70b8b00ad332092f6890371ddea9203f3e68630

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


The guidance in this Topic is not necessarily applicable to the following entities:

1.  a
    
    Not-for-profit entities (NFPs)
    
2.  b
    
    Regulated utilities.