This course is designed for students, members, chartered accountants and public accountants working with inventory assets. Given the importance of inventory management and reporting it is critical for any professional bookkeeper, auditor, accountant and others in finance and accounting to have knowledge about the scope, recognition criteria and implications of IAS 2 Inventories.

IAS 2 provides guidance for determining the cost of inventories and the subsequent recognition of the cost as an expense, including any write-down to net realizable value. It also provides guidance on the cost formulas that are used to assign costs to inventories.

In nutshell, this course covers the scope, basics, recognition and disclosures of IAS 2 inventories.

Course Key Concepts: Inventories, IAS 02, IFRS, International accounting standard, IAS, LIFO, FIFO, AVCO, NRV, Net realizable value, Cost, Inventory valuation, GAAP, CPA, CMA.

Learning Objectives
  • Explore the objectives, scope, key definitions, recognition criteria of IAS 02 inventories.
  • Discover the different techniques for the measurement of inventory costs.
  • Identify and learn the key techniques involve in inventory valuation like LIFO, FIFO and AVCO.
  • Identify the difference between Net realizable value and costs.
  • Explore the disclosure required provided by international accounting standard board (IASB) for reporting inventories.
Last updated/reviewed: March 24, 2024
2 Reviews (4 ratings)


Anonymous Author
Overall good primer to IAS2, but several of the review questions and final exam questions were confusing.

Member's Profile
The presentation was informative but the slides and notes could have been more complete

Course Complexity: Foundational

No advanced preparation or prerequisites are required for this course.

Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
Course Syllabus
  Course Introduction5:18
  Overview, History and Basics of IAS 215:29
  Initial Measurement - Cost model24:58
  Examples - Cost Model13:36
  Subsequent Measurement - NRV Model11:48
  Inventory- Asset or Expense11:46
  Example -NRV and Consignment Inventory17:30
  Comprehensive Case Study14:34
  Comprehensive Case Study Cont'd19:16
  IAS 2 - Inventories2:06:09
  Slides: IAS 2 - InventoriesPDF
  IAS 2 - Inventories Glossary/ IndexPDF
  Examples and Case StudyXLSX