I give you something like this raise the cost of goods sold its 2008 that does not happen what you are actually have to do with your ex gonna have to calculate cost of goods sold using I cost flow assumption or some type of map it's come up with the cost of goods sold and %uh plan to anytime if you want you can acquire subscribe to us by clicking man rotation and the courts can also sign up by means notes .ca so let's go ahead and starts on this presentation now remember that
I did usually say that cost good soul was a certain amount and now we would Journal eyes that but this is not happening number does not just magically appear for you in the real world and thats I you're actually gonna have to come up with this number so basically periodic and perpetual inventory systems they brought do you a final inventory counts you know how much they have on hand so on when we have customers coming in they're coming in and they're their perch scene is good that coursed what everyday purchases known as cost of goods sold and be any inventory this is what we're gonna counts
over here this is all the stuff the run account for the and inventory and essentially whatever we have left is going to be reading inventory that is going to keep her dog be inventory on the balance sheet while the cost of goods sold is going to be an expanse on the income statement so it's actually a rate that income statement and the inventory is going to be a course on the balance sheets that is how it works and we're going to cover in three different ways to figure out how to find cost her inventory costing the first one is going to be a pretty simple matter it's called specific identification no that's what the title is at the top we also are going to be covering paper which is first in first-ever inventory costing and of course something called B average cost method so let's go ahead get rid of all of this and actually look I did specific identification scenario so I'm I can actually probably keep bees used to graphics up because it is relevant
so we're talking about so what say that's on that specific identification what this not that is is that so we are going to mark we're gonna mark tag or essentially but a code on every inventory a Down and its in our in our business at retail and normally the specific identification map it is going to be for big ticket items because you can just imagine it creates a good I attack on every single item every soul thousands of items at a retail like wal-mart it would be just a ridiculous retail nightmare so usually these are her big ticket items may be like huge LCD TVs are maybe cars
are essentially anything that has a ha very high sales grace and what's gonna happen is that you should be is inventory items are going to be martz with a cost so they will how one of those little well tags on that says maybe like five thousand dollars or them I just how a bar code on eyewear
you know how it goes all those couple 1010 1010 Ste and then I it'll be scanned and of course the price will come up and essentially they're gonna record all because up everything they sold so maybe maybe this first its first thing that they sold right here maybe that was for I maybe I was for two thousand maybe the second one was for maybe the third one was for 5,000 so in this case our cost of goods sold would be seven thousand five hundred dollars and we would report that's I as a journal entry and then of course
I carry around to be income statement has an expansive man what's safe we started there where with ten thousand dollars the inventory that we tag and of course our cost a good soul is seven thousand that means we're gonna be left with 25 dollars a banking and mentor and of course will double check this why do you mean I'm inventorying inventory counts we always do inventory counts for both perpetual and the periodic system so the perk so the subsist specific identification method a pretty simple just everything is marked and tagged ants I you can easily come up with the cost of goods sold and the and inventory
for your inventory asset account so in the next presentation will be talking with paper which is a lot more difficult than your up to you follow would be I'll cost flow chart on going to prepare are you still see you guys in the next tutorial.. Thanks for visit..
No comments:
Post a Comment