NATS 1745 Chapter Notes - Chapter 5 and 6: Inventory Turnover, Income Statement, Multiple Choice
28 Aug 2018
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Test #2 merchandising and inventory costing study guide (chapter 5&6) Sales returns and allowances, quantity discounts, general merchandising questions, multi-step income statement categories, fob shipping point and fob destination, lower of cost and net realizable value (lcnrv) Current ratio, inventory turnover ratio, days in sales inventory ratio. Fifo/average cost inventory costing schedule (don"t forget to check your work after by calculating the cogs) Journalize transactions for a merchandising business (e. g. buying and selling inventory, returning goods, sales discounts, fright costs etc. ) Journalizing changes to inventory value using lower of cost and net realizable value (lcnrv) method. Effect of error in inventory (statements over/understated/no effect) Inventory + cost of goods purchased - ending inventory = cogs. Difference between the fifo, lifo, average cost.
