Friday 31 October 2014
The issue is whether ‘core inventories’ held in an entity’s own facilities should be accounted for as inventories or as property, plant and equipment (PP&E).
The submitter defined core inventories as a minimum amount of material that:
At its March 2014 meeting, the Interpretations Committee tentatively decided to develop an interpretation on the accounting for core inventories.
At its July 2014 meeting, the Interpretations Committee discussed the feedback received from the consultations with IASB members, the proposed scope of core inventories and the staff analysis of the applicability of the issue to a range of industries. In its redeliberations, the Interpretations Committee observed that the fact patterns in different industries can vary significantly. The Interpretations Committee further noted that, although the diversity in practice was noted between industries, there was no, or only limited, diversity in practice within the industries for which the issue is significant.
Consequently, the Interpretations Committee tentatively decided not to continue with the development of an interpretation, and to remove this item from its agenda.
The Interpretations Committee tentatively decided not to continue with the development of an interpretation on the issue, and issued a tentative agenda decision
The staff gave an oral update to the Interpretations Committee on the feedback received from consultations with IASB members in April and on the status of the staff analysis of the issue
The Interpretations Committee tentatively decided to develop an interpretation on the issue
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