Other inventory valuation methods include specific identification, replacement cost, and standard cost. Specific identification method identifies the actual cost of each unit sold; suitable for unique items like vehicles, jewelry, real estate. This method provides accurate matching of costs but is impractical for large volumes of homogeneous goods. Replacement cost method values inventory at the cost to replace it currently; useful for management decisions but not generally accepted for financial reporting. Standard cost method uses predetermined costs that are updated periodically; useful for manufacturing with variance analysis. Retail method estimates inventory value based on retail price less a standard margin; used in retail businesses where items are marked-up uniformly. Base stock method maintains a minimum inventory level at historical cost; rarely used in modern accounting. Choice of method depends on nature of inventory, industry practices, ICAI guidelines, and company policy. Once selected, the method should be consistently applied unless circumstances warrant change. Change in method requires disclosure and adjustment to prior period comparatives. The method should provide a true and fair view of inventory and match costs with revenues appropriately. Documentation of the method selected and its application is essential for audit and financial statement disclosure. Exam tip: Understand when each method is appropriate; practice calculating closing inventory and COGS for specific items using the designated methods.