state whether the following statements are true or false 621558

State whether the following statements are True or False

1. Inventories consist of goods purchased and held for resale.
2. Inventories include machinery spares.
3. For inventory valuation, cost may mean historical.
4. Abnormal amounts of wasted materials, labour or other production costs are included in the cost of inventories.
5. Selling and distribution costs are excluded from the cost of inventories.
6. Periodic Inventory System is a method of ascertaining inventory by taking an actual physical count.
7. The Closing Inventory is calculated as a residual figure under Perpetual Inventory System.
8. The Cost of Goods Sold is calculated as a residual figure under Perpetual Inventory System.
9. Perpetual Inventory System is a method of ascertaining inventory on the basis of records.
10. 10. The method of valuation (FIFO, LIFO, etc) is applied only once at the end of the accounting period under Periodic Inventory System to ascertain the cost of Closing Inventory.
11. The AS–2 (Revised) is mandatory in nature.
12. The FIFO Method is based on the assumption that the goods which are received recently are issued first.
13. The FIFO Method is in conformity with the physical flow of goods.
14. The LIFO Method is based on the assumption that the goods which are received first are issued first.
15. The LIFO Method does not conform to the physical flow of goods.
16. The Specific Identification Method is used specially for the goods produced and segregated for specific projects.
17. Net realisable value is the actual cost of selling price without any adjustments.
18. The inventory of finished goods is valued at cost or net realisable value whichever is lower.
19. The inventory of materials and other suppliers is valued at cost if the finished goods are expected to be sold below the historical cost.
20. Inventory of non-realisable waste should be valued at cost or net realisable value whichever is higher.