Portuguese Accounting Standard 18 – Inventories (IAS 2) A practicalapproachaccounting / auditing

According to NCRF118 - inventories, these "encompass goods purchased and held for resale including, for example, merchandise purchased by a retailer and held for resale, or land and other property held for resale." As regards the measurement be taken of the available to the NCRF18 establishing that they "shall be measured at cost or net realizable value, whichever is lower." Note also the complexity of managing the accounting in an industrial company. As stated Almeida (2017) the area of inventory and biological asset is an area that is of greater importance because of the high mobility (for purchases by the manufacturing process, the sales and by deposits) and because of the risk which is to him associate (slow rotation, breakage, obsolescence, deviations, fraud, etc ..). Also the effect on profitability may be relevant in relation to the size, the time and market value.