RSM220H1 Chapter Notes -Write-Off, Inventory Turnover, Debits And Credits
Document Summary
Knowledge of lower of cost or market valuations. Application of lower of cost or market valuation. Appropriate use of net realizable value: material purchase commitments. Appropriate use of the retail inventory method: markdowns and the conventional retail method, markups and the conventional retail method. Knowledge of the cost ratio for retail inventory methods. Answer d d c b a c d b d a d a a d b d c a d b a b c c. Calculate cost of goods sold given a markup on cost. Calculate merchandise purchases given a markup on cost. Description: markup on cost equivalent to a markup on selling price. *this topic is dealt with in an appendix to the chapter. Calculate ending inventory using gross profit method a c c d d a a b c b. Calculate ending inventory using gross profit method. a a b b a b b c b d c d a a b a.
