i) Inventories shall be classified as:
(a) Raw materials;
(c) Finished goods;
(d) Stock-in-trade (in respect of goods acquired for trading);
(e) Stores and spares;
(f) Loose tools;
(g) Others (specify nature).
(ii) Goods-in-transit shall be disclosed under the relevant sub-head of inventories.
(iii) Mode of valuation shall be stated.
As per Ind AS Schedule III, goods in transit should be included under relevant heads with suitable disclosure. Further, the mode of valuation for each class of inventories should be disclosed.
The heading Finished goods should comprise of all finished goods other than those stock-in-trade acquired for trading purposes.
For Full disclosure Refer Ind AS Click here