Goods and Fungible Materials Sample Clauses

Goods and Fungible Materials. 1. Where originating and non-originating fungible goods are physically mixed or combined in inventory, the origin of these goods may be determined on the basis of the physical segregation of each commodity or fungible material, or by the use of any inventory management method, such as average, last-in-first-out (LIFO) or first-in-first-out (FIFO), recognized in the Generally Accepted Accounting Principles of the Party where the production takes place or otherwise accepted by the Party where the production takes place. 2. The inventory management method selected in accordance with paragraph 1 for a particular commodity or consumable shall continue to be used for that commodity or consumable throughout the period or fiscal year.

Goods and Fungible Materials. 1. For the purpose of determining whether a good is originating, any good or fungible material shall be distinguished by: (a) a physical separation of the goods or materials; or (b) a method of inventory management recognized in the Generally Accepted Accounting Principles of the exporting Party. 2. The inventory management method selected, in accordance with paragraph 1, for a particular commodity or expendable material will continue to be used for those commodities or materials during the taxable year of the person who selected the inventory management method.

Goods and Fungible Materials. 1. For the purposes of establishing whether a good is originating, when originating and non-originating fungible materials that are physically mixed or combined in inventory are used in its production, the origin of the materials may be determined by one of the inventory management methods set out in paragraph 3. 2. When originating and non-originating fungible goods are physically mixed or combined in inventory, and prior to their exportation they do not undergo any production process or any other operation in the territory of the Party in which they were physically mixed or combined, other than unloading, reloading or any other movement necessary to maintain the goods in good condition or transport them to the territory of the other Party, the origin of the good may be determined from one of the inventory management methods set out in paragraph 3. 3. The applicable inventory management methods for expendable materials or goods shall be as follows: (a) PEPS" (first-in-first-out) is the method of inventory management whereby the origin of the number of units of the materials or consumables first received into inventory is considered as the origin, in equal number of units, of the materials or consumables first issued from inventory;