0
Should purchase of inventory be reported net of discount and net of vat?
Wiki User
∙ 12y agoWant this question answered?
Be notified when an answer is posted
Add your answer:
Earn +20 pts
How should this transaction be recorded in the journal entry if merchandise inventory that cost 620000 is reported on the balance sheet at 690000?
debit owners equity 70000credit inventory 70000
Changing the method of inventory valuation should be reported in the financial statements under what qualitative characteristic of accounting information?
timeliness
Should the plant accountant order the inventory purchase to lower income?
S. R. Marsh Wholesale Corp. uses the LIFO method of inventory costing. In the current year, profit at S. R. Marsh is running unusually high. The corporate tax rate is also high this year, but it is scheduled to decline significantly next year. In an effort to lower the current year's net income and to take advantage of the changing income tax rate, the president of S. R. Marsh Wholesale instructs the plant accountant to recommend to the purchasing department a large purchase of inventory for delivery 3 days before the end of the year. The price of the inventory to be purchased has doubled during the year, and the purchase will represent a major portion of the ending inventory value. You strongly suspect that the president will return the purchased inventory after January 1st. Instructions Should the plant accountant order the inventory purchase to lower income? What are the ethical implications of this order?
When a company uses the perpetual inventory method the inventory account should stay current at all times T F?
True... Using the Perpeptual Inventory Method would result in each sale and purchase being journaled directly to the inventory account which would keep this account current. Whereas using the Periodic System would result in the Inventory Account showing the correct stock levels at year end only.
What is an example of an inventory accounting policy that should be disclosed in a summary of significant accounting policies is what?
Method used for inventory pricing.
Where can I buy discount tires online?
GO fashhiontiy There are many cheap and discount products on it.
How should this tranacstion be recorded in the journal entry if merchandise inventory that cost 620000 is reported on the balance sheet at 690000?
debit owners equity 70000credit inventory 70000
How should this transaction be recorded in the journal entry if merchandise inventory that cost 620000 is reported on the balance sheet at 690000?
debit owners equity 70000credit inventory 70000
Changing the method of inventory valuation should be reported in the financial statements under what qualitative characteristic of accounting information?
timeliness
What should you be leery of when buying tires at a discount tire center?
Whenever you are considering the purchase of tires from a discount tire shop, you should always be leery of the quality of the product. Check the tires carefully to see the tread on them before you purchase them.
Should I buy discount treadmills online?
It's advisable to purchase this used online. If you can afford it, it's better to purchase this new with a warranty.
Is it possible for personal representative purposely not list all assets on inventory list of deceased estate?
If there is evidence that the executor has not listed all the assets of the decedent the executor should be reported to the court immediately. Any evidence of non-reported property should be presented to the court and the executor should be removed and replaced.
Where can someone purchase Libbey glasses at a discount?
You should be able to get libbey glasses at the online store for a discount. Another place to get these type of glasses is to buy them for the Libbey retail store.
Letter to a vendor asking for a discount?
A letter to a vendor asking for a discount should be straight forward. Point out the fact that you have been a good customer and purchase many items from them consistently.
Should consumption against consignment items will be considered in inventory turn over ratio because consign inventory is not the part of average inventory?
The short answer is no. If you consume a consignment item, you just bought it. It's not inventory turnover for you, because it's not your inventory - now it's a consumable, an asset, or a personal purchase which should not be on your books at all, except to pay the sales tax owing. Any other treatment of it is deceitful and illegal.
When a company uses the perpetual inventory method should the inventory account should stay current at all times?
True... Using the Perpeptual Inventory Method would result in each sale and purchase being journaled directly to the inventory account which would keep this account current. Whereas using the Periodic System would result in the Inventory Account showing the correct stock levels at year end only.
Should the plant accountant order the inventory purchase to lower income?
S. R. Marsh Wholesale Corp. uses the LIFO method of inventory costing. In the current year, profit at S. R. Marsh is running unusually high. The corporate tax rate is also high this year, but it is scheduled to decline significantly next year. In an effort to lower the current year's net income and to take advantage of the changing income tax rate, the president of S. R. Marsh Wholesale instructs the plant accountant to recommend to the purchasing department a large purchase of inventory for delivery 3 days before the end of the year. The price of the inventory to be purchased has doubled during the year, and the purchase will represent a major portion of the ending inventory value. You strongly suspect that the president will return the purchased inventory after January 1st. Instructions Should the plant accountant order the inventory purchase to lower income? What are the ethical implications of this order?
