Broadcom Inc. (AVGO)
Analysis of Inventory
Inventory Accounting Policy
Broadcom values the inventory at the lower of actual cost or net realizable value of the inventory, with cost being determined under the first-in, first-out method. Broadcom records a provision for excess and obsolete inventory based primarily on the forecast of product demand and production requirements. The excess and obsolete balance determined by this analysis becomes the basis for Broadcom’s excess and obsolete inventory charge and the written-down value of the inventory becomes its new cost basis.
Source: 10-K (filing date: 2018-12-21).
Broadcom Inc., Statement of Financial Position, Inventory
USD $ in millions
|Nov 4, 2018||Oct 29, 2017||Oct 30, 2016||Nov 1, 2015||Nov 2, 2014||Nov 3, 2013|
Based on: 10-K (filing date: 2018-12-21), 10-K (filing date: 2017-12-21), 10-K (filing date: 2016-12-23), 10-K (filing date: 2015-12-17), 10-K (filing date: 2014-12-29), 10-K (filing date: 2013-12-20).
|Inventory||Amount after valuation and LIFO reserves of inventory expected to be sold, or consumed within one year or operating cycle, if longer.||Broadcom Inc.’s inventory increased from 2016 to 2017 but then declined significantly from 2017 to 2018.|