{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/330/10/#50-disclosure","source":"FASB Accounting Standards Codification, Basic View","usage":"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.","topic":"330","topic_title":"Inventory","subtopic":"330-10","subtopic_title":"Overall","section":{"number":"50","label":"50 Disclosure","anchor":"50-disclosure","is_sec":false,"groups":[{"block":null,"heading":"Basis for Stating Inventories","paragraphs":[{"citation":"330-10-50-1","para":"50-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_647B1113-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The basis of stating inventories shall be consistently applied and shall be disclosed in the financial statements; whenever a significant change is made therein, there shall be disclosure of the nature of the change and, if material, the effect on income. </span></span><span class=\"sfragment\" id=\"sfr_647B12BF-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"> A change of such basis may have an important effect upon the interpretation of the financial statements both before and after that change, and hence, in the event of a change, a full disclosure of its nature and of its effect, if material, upon income shall be made. </span></span><span class=\"sfragment\" id=\"sfr_647B141D-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">See paragraph <a href=\"/asc/210/10/#210-10-50-1\" class=\"xref\">210-10-50-1</a>.</span></span></div></div>","snippet":"The basis of stating inventories shall be consistently applied and shall be disclosed in the financial statements; whenever a significant change is made therein, there shall be disclosure of the nature of the change and,…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:b05c136435bd0cff6d6e83d4d13fa7e6ed485ef8394d0d70234103e4f537a930","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:fe90a1409315600b925fdb05268b046fa7b84bd95a927a0462705f26b8b75a9e","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}},{"block":null,"heading":"Losses from the Subsequent Measurement of Inventory","paragraphs":[{"citation":"330-10-50-2","para":"50-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_647B15A4-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Substantial and unusual losses that result from the subsequent measurement of <a href=\"/glossary/i/#inventory\" class=\"term\" title=\"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.\"><span>inventory</span></a> (see paragraphs <div class=\"xref-range displayInline\"><a href=\"/asc/330/10/#330-10-35-1A\" class=\"xref\">330-10-35-1A through 35-11</a></div>) should be disclosed in the financial statements.</span></span></div></div>","snippet":"Substantial and unusual losses that result from the subsequent measurement of inventory (see paragraphs 330-10-35-1A through 35-11) should be disclosed in the financial statements.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:f13078a9cc9aca82e6fae2d57a8abb87fa9f0a8c54560875d5395b92d45b0b8d","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:da4a970a858db419141547fbfddcadf6c85fd45423fed17c06b01b2d486a9f29","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}},{"block":null,"heading":"Goods Stated Above Cost","paragraphs":[{"citation":"330-10-50-3","para":"50-3","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_647B172B-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Where goods are stated above cost this fact shall be fully disclosed. </span></span></div></div>","snippet":"Where goods are stated above cost this fact shall be fully disclosed.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c328f9d9919a270f9854c2b09d7a68a6e8b2ceb4fee275e3a0cf8c63aad80a5e","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a693ec77efc1c1f09a5508983f652d4d1347e10deddb0227887d773efd933602","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}},{"block":null,"heading":"Stating Inventories at Sales Prices","paragraphs":[{"citation":"330-10-50-4","para":"50-4","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_647B18A0-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Where such inventories are stated at sales prices, the use of such basis shall be fully disclosed in the financial statements. </span></span></div></div>","snippet":"Where such inventories are stated at sales prices, the use of such basis shall be fully disclosed in the financial statements.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4b96e452254c6fe41a6c1848347eeca6cb8986e011661da61b97542610a6d86d","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c3c1e38e8996a1cd309c2f3f14101ffb742510551d0f7458906dfee12ea7aa6e","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}},{"block":null,"heading":"Losses on Firm Purchase Commitments","paragraphs":[{"citation":"330-10-50-5","para":"50-5","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_647B1A4D-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The amounts of net losses on firm purchase commitments accrued under paragraph <a href=\"/asc/330/10/#330-10-35-17\" class=\"xref\">330-10-35-17</a> shall be disclosed separately in the income statement. </span></span></div><div class=\"div pending-text\" id=\"d3e4574-108314__GUID-D76AA65D-BB60-4D2E-8D45-7482AAEE9D17\"><div class=\"div date-effective\"><span class=\"transition-header\">Transition date:</span><span class=\"p-alphabet\">(P) December 16, 2026; (N) December 16, 2026</span><span class=\"transition-header pipe-separator\">Transition guidance:</span></div><a href=\"/asc/220/40/#220-40-65-1\" class=\"xref\">220-40-65-1</a><span class=\"sfragment\" id=\"GUID-B1F6D4DB-1C92-4730-A7A8-9127B797AD51\"><span class=\"sfragment-source\">The amounts of net losses on firm purchase commitments accrued under paragraph <a href=\"/asc/330/10/#330-10-35-17\" class=\"xref\">330-10-35-17</a> shall be disclosed separately in the income statement. </span></span><span class=\"sfragment\" id=\"GUID-84F0E69A-8540-473F-A2DE-FE626C248F42\"><span class=\"sfragment-source\">See paragraphs <div class=\"xref-range displayInline\"><a href=\"/asc/220/40/#220-40-50-21\" class=\"xref\">220-40-50-21 through 50-25</a></div> for additional disclosure requirements.</span></span></div></div>","snippet":"The amounts of net losses on firm purchase commitments accrued under paragraph 330-10-35-17 shall be disclosed separately in the income statement. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition gu…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:e16fd56d06401de57917d210c435da9cfec79c8ca5760509225f20df626ef912","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d851c6b1999b6ca8ee0fc4f65758458bbaf99a414d273391134943938dc79c6b","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}},{"block":null,"heading":"Disclosure of Significant Estimates","paragraphs":[{"citation":"330-10-50-6","para":"50-6","html":"<div class=\"asc-body\"><div class=\"norm-text\">See Example 1 (paragraph <a href=\"/asc/330/10/#330-10-55-8\" class=\"xref\">330-10-55-8</a>) for an illustration of the disclosure of significant estimates applicable to inventories as required by Section <a altsource=\"GUID-A8A32275-E24C-4818-A040-F5BDF2829E6A.ditamap\" class=\"ditamap\">275-10-50</a>.</div></div>","snippet":"See Example 1 (paragraph 330-10-55-8) for an illustration of the disclosure of significant estimates applicable to inventories as required by Section 275-10-50.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5a1e3f47e54c46fdd4ffb498926935dcda6e8986a4ca0306c801189c2f2a4fe3","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:7f1acf36d34e0d8254d130b9f70238eff035cf7070a36c9b85729020744c53f5","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:38f09360d2a43bc75833eec266a734ac69ce27b2cc0957973d2c28f4041ea049","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:38f09360d2a43bc75833eec266a734ac69ce27b2cc0957973d2c28f4041ea049","downloaded_from":"2026-09-09T23:50:51.981Z","last_downloaded_at":"2026-09-09T23:50:51.981Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483080","source_sha256":"06784cf2131539f6683983dcd1184719249a59998b634ad31a07db92b656ca15"}}