Some investors asked on the investor interaction platform: on the premise of booming production and marketing, the company has made a 10% provision for the decline of its 200 million inventory in 21 years. Does it mean that there are problems in the original accounting standards and need to be adjusted appropriately?
Shenzhen Refond Optoelectronics Co.Ltd(300241) ( Shenzhen Refond Optoelectronics Co.Ltd(300241) . SZ) said on the investor interaction platform on May 4 that the provision for inventory falling price of the company is made according to the accounting standards, that is, compare the net realizable value of inventory with the book cost of inventory to determine whether the provision for inventory falling price is necessary. If the book cost is higher than its net realizable value, the provision for inventory falling price shall be made according to the difference. Compared with the data of previous years, the provision for inventory falling price / inventory ratio accrued in 2021 did not increase.
