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Purchasing departments measure PPV when they purchase raw materials. If there is a significant price variance, it needs to be reclassifippv inventory meaninged into the inventory of raw materials, inventory of work-in-progress, cost of products, and。

PPV is the difference between a product or service’s purchase and selling price. This calculation considers discounts, rebates, allowancesppv inventory meaning, and other deductions from the。

The actual cost may have been taken from an inventory layering system, such as a first-in first-out system, where the actual cost varies from the current market price by a。

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