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Stock Valuation
Stock valuation is the process of determining the monetary value of a company's inventory. It is essential for financial reporting, decision-making, and assessing a company's overall financial health. There are various methods for stock valuation, including FIFO (First-In-First-Out), LIFO (Last-In-First-Out), weighted average cost, and specific identification. Each method has its advantages and implications on financial statements and tax obligations.
- Methodology Selection
- Consistency
- Accuracy
- Market Conditions
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