what are some examples of nrv usage 
nrv for accounts receivable is calculated as the full receivable balance less an allowance for doubtful accounts which is the dollar amount of invoices that the company estimates to be bad debt nrv is also used to account for costs when two products are produced together in a joint costing system until the products reach a split off point each product is then produced separately after the split off point and nrv is used to allocate previous joint costs to each of the products gaap rules previously required accountants to use the lower of cost or market lcm method to value inventory on the balance sheet this was updated in 2015 to where companies must now use the lower of cost or nrv method which is more consistent with ifrs rules in essence the term market has been replaced with net realizable value 2