Asus 2010 Annual Report Download - page 159

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155
7) Inventories
2010/12/31 2009/12/31
Finished goods $ 1,924,015 $ 22,710,126
Merchandise inventory 34,725,954 30,464,515
Work in process 1,362,069 4,391,802
Raw materials 10,656,904 30,787,455
Inventories in transit 768,441 6,043,186
49,437,383 94,397,084
Less: allowance for inventory valuation loss and
obsolescence
( 3,640,198) ( 6,659,892)
$ 45,797,185 $ 87,737,192
The amount of inventories recognized as expenses and losses amounted to $545,386 and
$15,745, of which $316,125 and $398,806 were recognized as a deduction to cost of sales due
to a reversal of inventory cost to its net realizable value, for the years ended December 31,
2010 and 2009, respectively.
8) Long-term equity investments
(1) Details of long-term equity investments accounted for under the equity method are as
follows:
2010/
12
/3
1
2009/
12
/3
1
Percentage
Percentage
Carrying of Carrying of
Investee company
amount
ownership
amount
ownership
PEGATRON
$ 22,165,896
24.4
5
$
-
-
YORKEY
OPTICAL
INTERNATIONAL
(CAYMAN) LTD.
- - Note -
INDEED HOLDINGS
LIMITED
- - 726,939 49.00
AVY PRECISION
TECHNOLOGY INC.
- - 811,883 20.39
WILSON HOLDINGS
LIMITED
- - 160,340 49.00
EVER PINE
INTERNATIONAL
LTD. (BVI)
- - 121,207 34.65
Others 194,270 325,407
$ 22,360,166 $ 2,145,776
Note: The Group had lost control over this entity during the period and the investment was
classified as available-for-sale financial assets.
(2) The investment income recognized from these investments under the equity method,
which amounted to $1,110,159 and $332,956 for the years ended December 31, 2010 and
2009, respectively, was determined based on the investee companies’ audited financial
statements.