Abstract
Stocks and work in progress present several problems to the accountant. First we have to determine the cost of the item. Secondly we have to apply the prudence convention as appropriate. Thirdly we have to determine the revenue recognition (’sale’) point, and apply the matching convention correspondingly. These problems are particularly difficult in the case of long-term contract work in progress — a single contract lasting several years — and it is useful, following SSAP 9 itself, to treat these separately. We consider first, stock and work in progress other than long-term contract work-in-progress.
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© 1990 D.J.A. Alexander
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Alexander, D. (1990). Stocks and work in progress (SSAP 9). In: Financial Reporting. Springer, Boston, MA. https://doi.org/10.1007/978-1-4899-7118-0_20
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DOI: https://doi.org/10.1007/978-1-4899-7118-0_20
Publisher Name: Springer, Boston, MA
Print ISBN: 978-0-412-35790-9
Online ISBN: 978-1-4899-7118-0
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