Tell me details about inventory valuation

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Inventory valuation is the process of assigning a monetary value to the items held in stock by a company.

Inventory valuation methods include FIFO (First In, First Out), LIFO (Last In, First Out), and weighted average cost.
The valuation method chosen can impact the company's financial statements and tax liabilities.
Inventory valuation helps in determining the cost of goods sold and the value of ending inventory on the balance sheet.
It is important for companies to consistently apply the chosen valuation method to ensure accuracy and consistency in financial reporting.