Is inventory a long term asset?

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Is inventory considered a current or a non current asset? Can a company have stock or inventory that is included as a non current asset and when?

score 0 · Answer 1 · 2012-12-02T19:32:32+00:00

No inventory is not a long term asset and if a company has inventory that is not being regularly sold/updated, it should be checked for impairment.

Inventory appears as a current asset because it is expected to be sold within the next financial year.