Inventory 库存计量

1、Copyright 2007 Prentice-Hall. All rights reserved1Copyright 2007 Prentice-Hall. All rights reserved2Describe inventory and discuss the related internal controlsCopyright 2007 Prentice-Hall. All rights reserved3 Goods that a business owns and has available to sell to customers as part of normal opera

2、tions Current asset usually listed after accounts receivableCopyright 2007 Prentice-Hall. All rights reserved4 Loss of inventory Compare physical count with balance in books SourcesBreakageTheftObsolescenceCopyright 2007 Prentice-Hall. All rights reserved5 Separation of access to assets from access

3、to record Secure inventory items Physical count at least once a year Maintain perpetual records of inventory transactions Document purchases and salesCopyright 2007 Prentice-Hall. All rights reserved6Compute inventory costs using first-in, first-out (FIFO), last-in, first-out (LIFO), and average cos

4、t methods.Copyright 2007 Prentice-Hall. All rights reserved7 Specific Unit Cost FIFO LIFO Average CostCopyright 2007 Prentice-Hall. All rights reserved8 When units are sold, the specific cost of the unit sold is added to cost of goods soldCopyright 2007 Prentice-Hall. All rights reserved9Cost of Goo

5、ds SoldEnding InventoryOldest CostsRecent CostsCopyright 2007 Prentice-Hall. All rights reserved10$10$10$10Beginning Inventory$12$12$12$12$12Purchase 5 shirtsThen we sell 4 shirts for $20 each. What costs should be assigned to Cost of Goods Sold?First-In, First-OutCost of good sold = $42Inventory =

6、$48Copyright 2007 Prentice-Hall. All rights reserved11Sales$80Cost of Goods Sold42Gross Profit$38Copyright 2007 Prentice-Hall. All rights reserved12Recent CostsCost of Goods SoldOldest CostsEnding InventoryCopyright 2007 Prentice-Hall. All rights reserved13$10$10$10Beginning Inventory$12$12$12$12Pur

7、chase 5 shirtsLast-In, First-OutCost of good sold = $48Inventory = $42$12Then we sell 4 shirts for $20 each. What costs should be assigned to Cost of Goods Sold?Copyright 2007 Prentice-Hall. All rights reserved14Sales$80Cost of Goods Sold48Gross Profit$32Copyright 2007 Prentice-Hall. All rights rese

8、rved15The average cost of each unit in inventory is assigned to cost of goods sold Average CostCost of Inventory on HandNumber of Units on Hand=Copyright 2007 Prentice-Hall. All rights reserved16$10$10$10Beginning Inventory$12$12$12$12Purchase 5 shirtsCompute the Average CostUnits CostBeginning inve

9、ntory 3$30Purchases560 Total8$90Average = $90/8 = $11.25Cost of good sold = $11.25 x 4 = $45Inventory = $11.25 x 4 = $45$12Then we sell 4 shirts for $20 each. What costs should be assigned to Cost of Goods Sold?Copyright 2007 Prentice-Hall. All rights reserved17Sales$80Cost of Goods Sold45Gross Prof

10、it$35Copyright 2007 Prentice-Hall. All rights reserved18Compare the effects of the different costing methods on the financial statementsCopyright 2007 Prentice-Hall. All rights reserved19FIFOLIFOAverageEnding Inventory$48$42$45Gross Profit$38$32$35Copyright 2007 Prentice-Hall. All rights reserved20S

11、moothes out price changesDuring inflation minimizes net income and income taxes. Better matching of current costs in cost of goods sold with revenuesMatches actual flow of goods. Inventory valued closest to replacement valueFirst-In, First-OutWeighted AverageLast-In, First-OutCopyright 2007 Prentice

12、-Hall. All rights reserved21 Jul 1 Bal.5$70$3506 3 $70 $210 2 70 140 8 10$80$8002701401080800172$7014028016088064030580400380240 Total cost of goods sold for July = $910Cost of ending inventory for July = $240Notice: We keep separate cost layers as inventory is acquiredNotice: This is not the sellin

13、g price, but the cost of goods soldCopyright 2007 Prentice-Hall. All rights reserved22 Jul 1 Bal.5$70$3506 3 $70 $210 2 70 140 8 10$80$8002701401080800174803202701406804803058040027014018080 Total cost of goods sold for July = $930Cost of ending inventory for July = $220The last inventory costs incu

14、rred are the first inventory costs to be assigned to cost of goods soldCopyright 2007 Prentice-Hall. All rights reserved23 Jul 1 Bal.5$70.00$3506 3$70.00 $210 270.00140 8 10$80$80012 78.33940174 78.333138 78.33627305 78.33392 3 78.33235 Total cost of goods sold for July = $915Cost of ending inventory for July= $235Every time the company purchases inventory, a new average price per unit is computed: Total c