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Mould accounting

Dear All

Client has requirement related to MOULD. please see following and suggest.

It is a glass manufacturing company having operations which purchases and manufactures moulds. We want to know what is standard practice for mould - Should these be considered as Inventory or Asset ?

Also does U.S & India have accounting rules for treatment of Mould ? Client is currently considering these as inventory and it is included in BOM and then cost is included in production order using number of impressions consumed.

Client has operations in U.S & India and it is implementing new SAP. Appreciate detailed information on treatment of mould in SAP.

Unable to find much content on this subject so far.

Thanks Kapil

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