Management and Organizational Studies 3360A/B Chapter Notes - Chapter 8: Consignor, Net Income, Consignee

54 views9 pages

Document Summary

Understanding inventory: what types of companies have inventory, manufacturing, retail, wholesale, merchandising. Inventory ready for sale: merchandise inventory- unsold units left on hand from merchandise in a form that is ready for sale, manufacturing companies. Inventory planning and control: higher levels of inventory results in higher costs of looking after them, companies must monitor inventory levels carefully to, minimize carrying costs, meet customer demands. Recognition: valuation requires determining the physical goods (goods on hand, goods in transit, consigned goods, special sales agreements) Inventories are defined as assets: held for sale in the ordinary course of business, goods to be used in the production of goods to be sold, or, materials or supplies to be consumed in the production process. Inventories represent a future benefit, which the entity has control over or access to: physical goods included in inventory, when all risks and rewards of ownership and control have passed to the purchaser, inventory is recognized.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related Documents