Two methods are commonly employed to value inventory -- variable costing and absorption costing. The difference between the two is in their treatment of operational overhead. Variable costing only ...

Learn how GAAP applies to a company's inventory reserves, using cost or market value methods, and its impact on accounting standards and financial planning.

Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Eric's career includes extensive work in both public and corporate accounting ...