ASU 2015-11 — Inventory (Topic 330)

Topic 330, Inventory, currently requires an entity to measure inventory at the lower of cost or market. Market could be replacement cost, net realizable value, or net realizable value less an approximately normal profit margin.

The amendments in this Update require an entity to measure inventory within the scope of this Update at the lower of cost and net realizable value. Subsequent measurement is unchanged for inventory measured using last-in, first-out (LIFO) or the retail inventory method.

This Accounting Standards Update is the final version of Proposed Accounting Standards Update 2014-210—Inventory (Topic 330), which has been deleted.

Issued: July 22, 2015