Inventory Flashcards
How do you calculate ending inventory using Dollar-Value LIFO?
How to calculate COGS using LIFO:
What is the difference between the perpetual and periodic inventory systems?
What are the steps to apply the Lower of Cost or Market (LCM) rule under LIFO?
How do you calculate inventory lost in a fire using the gross profit (margin) method?
How are FOB shipping point and FOB destination items treated in inventory calculations?
How are liabilities and inventory treated under FOB shipping point and FOB destination?
How do you calculate ending inventory using the moving average method?
What are the roles and characteristics of the consignor and consignee in a consignment arrangement?
How do you apply the Lower of Cost or Net Realizable Value (LCNRV) method?
Why are shipping and insurance included in COGS, while commission and advertising are not?
How do you calculate COGS under the perpetual inventory system using the average pricing method?
How do you calculate COGS under the periodic inventory system using the average pricing method?
How do you calculate COGS and ending inventory under the weighted average method?
What goes into cost of inventory
How is inventory carried on the balance sheet under the gross and net methods when a discount period is missed? EMPTY
Steps to Solve Dollar-Value LIFO Problems:
How do you allocate shipping costs to year-end inventory?
During a period of inflation, how does LIFO affect ending inventory and income tax payable compared to FIFO?
During periods of rising prices, which inventory method results in the same ending inventory in both perpetual and periodic inventory systems?
What is a disadvantage of the periodic inventory system regarding inventory shortages?
In a periodic system, you only check and update inventory at the end of the period. If anything is lost or stolen during that time, it won’t be noticed until the end, and it gets counted as if it was sold. This makes it hard to tell how much was actually sold and how much was lost.
Dollar-Value LIFO Calculation Steps
If Ending inventory is Overstated what are the impacts.
If Ending inventory is Understated what are the impacts.
What are the differences in LIFO Inventory Calculation for the Periodic vs. Perpetual methods
BIG DVL NOTE
BI and EI Relationships with COGS
Markup on Cost to Cost-to-Sales Ratio
Whats the Moving-Average Method for Unit Cost Calculation
Inventoriable Costs - what is included and whats excluded?
Steps to Calculate Payment with Multiple Trade Discounts, Early Payment Discount, and Additional Costs
How is Net Method recorded for Inventory Purchases with Cash Discounts
FOB Shipping Point vs. FOB Destination – Inventory Cost Differences
What’s Conventional Retail Inventory Method
What’s the difference between Moving Average vs. Weighted Average Inventory Methods
Weighted Average Inventory Cost Method
Notes for calculating the initial cost of inventory
During periods of rising prices, which inventory cost flow method results in the same dollar amount of ending inventory in both perpetual and periodic inventory systems?
Another DVL note
How do you calculate DVL inventory?
