Number one Concern of Accounting - correct answer - Cost of Inventory
Sale of Inventory (Revenue) - correct answer - When we sell our inventory and offer we offer our customers discounts, allowances, and returns, these amounts are recorded in Contra Revenue accounts.
Cost of Invento...
Number one Concern of Accounting - correct answer - Cost of Inventory
Sale of Inventory (Revenue) - correct answer - When we sell our inventory and offer we offer our
customers discounts, allowances, and returns, these amounts are recorded in Contra Revenue accounts.
Cost of Inventory (COGS) - correct answer - when we purchase inventory and we are offered
discounts, allowances, and returns from the vendor, these are recorded into the inventory account.
Four inventory Costing methods - correct answer - Specific Unit
- Weighted Average Cost
- First in, first out (FIFO)
- Last in, first out. (LIFO)
Specific Unit - correct answer - used for businesses with unique inventory items.
Weighted Average Cost - correct answer - Cost of goods available/Number of units available.
Cost of Goods Sold (COGS) - correct answer : Number of units solds x Average cost per unit
- Income statement
FIFO - correct answer - The flow of Costs NOT items.
- First goods purchased are sold first.
- Focus on Balance Sheet.
-
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Rechga. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.99. You're not tied to anything after your purchase.
