alleryStart learning →Under AS 2, how are shares held as stock-in-trade treated?
AValued at face value only
BOutside the scope of AS 2
CValued at lower of cost, NRV
DValued at replacement cost
Answer & Solution
Correct answer: B. Outside the scope of AS 2
Financial instruments held as stock-in-trade are expressly carved out of AS 2 and handled under other requirements.
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