Wayne Lippman presents Accounting BasicsWayne Lippman
Wayne Lippman presents Accounting Basics. This basic overview of the accounting process from Wayne Lippman CPA covers the basic principals of accounting. It includes discussions of accounting ethics, accounting process, roles, Generally Accepted Accounting Practices (GAAP).
Basic of Financial Accounting - Easy NotesFaHaD .H. NooR
These notes will provide you understanding basic of financial accounting
Financial accounting is a specialized branch of accounting that keeps track of a company's financial transactions. Using standardized guidelines, the transactions are recorded, summarized, and presented in a financial report or financial statement such as an income statement or a balance sheet.
Companies issue financial statements on a routine schedule. The statements are considered external because they are given to people outside of the company, with the primary recipients being owners/stockholders, as well as certain lenders. If a corporation's stock is publicly traded, however, its financial statements (and other financial reportings) tend to be widely circulated, and information will likely reach secondary recipients such as competitors, customers, employees, labor organizations, and investment analysts.
It's important to point out that the purpose of financial accounting is not to report the value of a company. Rather, its purpose is to provide enough information for others to assess the value of a company for themselves.If financial accounting is going to be useful, a company's reports need to be credible, easy to understand, and comparable to those of other companies. To this end, financial accounting follows a set of common rules known as accounting standards or generally accepted accounting principles (GAAP, pronounced "gap").
meaning of accounting
meaning of book-keeping
difference between accounting and book-keeping
meaning of double entry system of book-keeping
accounting equation
accounting principles, concepts and conventions
parties interested in accounting information
accounting cycle
classification/types of accounts
golden rules of accounting
Wayne Lippman presents Accounting BasicsWayne Lippman
Wayne Lippman presents Accounting Basics. This basic overview of the accounting process from Wayne Lippman CPA covers the basic principals of accounting. It includes discussions of accounting ethics, accounting process, roles, Generally Accepted Accounting Practices (GAAP).
Basic of Financial Accounting - Easy NotesFaHaD .H. NooR
These notes will provide you understanding basic of financial accounting
Financial accounting is a specialized branch of accounting that keeps track of a company's financial transactions. Using standardized guidelines, the transactions are recorded, summarized, and presented in a financial report or financial statement such as an income statement or a balance sheet.
Companies issue financial statements on a routine schedule. The statements are considered external because they are given to people outside of the company, with the primary recipients being owners/stockholders, as well as certain lenders. If a corporation's stock is publicly traded, however, its financial statements (and other financial reportings) tend to be widely circulated, and information will likely reach secondary recipients such as competitors, customers, employees, labor organizations, and investment analysts.
It's important to point out that the purpose of financial accounting is not to report the value of a company. Rather, its purpose is to provide enough information for others to assess the value of a company for themselves.If financial accounting is going to be useful, a company's reports need to be credible, easy to understand, and comparable to those of other companies. To this end, financial accounting follows a set of common rules known as accounting standards or generally accepted accounting principles (GAAP, pronounced "gap").
meaning of accounting
meaning of book-keeping
difference between accounting and book-keeping
meaning of double entry system of book-keeping
accounting equation
accounting principles, concepts and conventions
parties interested in accounting information
accounting cycle
classification/types of accounts
golden rules of accounting
Cloud based <a>Online Accounting Software</a> for day to day needs of accountants and sme's, allows you to manage payroll, bookkeeping for free.
Learn More :- https://www.capium.com
Financial accounting Meaning . This is useful for, BCOM,MCOM,CA,CS,CMA STUDENTSBibek Prajapati
Financial accounting is a specialized branch of accounting that keeps track of a company's financial transactions. Using standardized guidelines, the transactions are recorded, summarized, and presented in a financial report or financial statement such as an income statement or a balance sheet.
This is useful for, BCOM,MCOM,CA,CS,CMA STUDENTS
Introduction to Accounting
By. Prof Navneet Saxena
IBS Gurgaon
Objective:
At the end of this session you should be able to understand
Distinction among Financial Accounting, Cost Accounting and Management Accounting
Evolution of Accounting
Basic Concepts of Financial Accounting
Conventions of Accounting
Stages of Preparing Accounting Statements
From Input to Output
Users of Financial Statements
Advantages of Accounting
Generally Accepted Accounting Principles
For more content and questions refer (Copy and Paste this link)
https://clickuniv.com/introduction-to-accounting/
Follow me on: https://twitter.com/Afzalindian
Here in this slide fundamentals of accounting are discussed. After studying this slide you will be able to know
Meaning and Definition of Accounting
Attributes (Characteristics) of accounting
Functions of Accounting
Accounting Process
Bookkeeping
Objectives of Accounting
Advantages of Accounting
Limitations of Accounting
Users of Accounting Information
Systems of Accounting
Basis of Accounting
Basics of Accounting. Principles and concepts of Accounting
what is Double Entry System of Accounting?what Financial Statements?
Accounting is a process of identifying, recording, summarising and reporting economic information
to decision makers in the form of financial statements.
Financial accounting is the process of Accounting all incomes, expenses, assets & liabilities in monetary terms, thus enabling preparation of principal financial statements. This first lesson as a part of Financial Accounting is brought to you by Welingkar’s Distance Learning Division.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/SlideshareFaccounting
Join us on Facebook: http://www.facebook.com/welearnindia
Follow us on Twitter: https://twitter.com/WeLearnIndia
Read our latest blog at: http://welearnindia.wordpress.com
Subscribe to our Slideshare Channel: http://www.slideshare.net/welingkarDLP
Real estate is something that you can physically touch and feel – it's a real good and, therefore, for many financiar ,feels more real. Maybe this partially accounts for the high return on the venture, as from 1978-2004, real estate has had an average return of 8.6%. For many time this investment has generated consistent wealth and long term respect for millions of people.
Cloud based <a>Online Accounting Software</a> for day to day needs of accountants and sme's, allows you to manage payroll, bookkeeping for free.
Learn More :- https://www.capium.com
Financial accounting Meaning . This is useful for, BCOM,MCOM,CA,CS,CMA STUDENTSBibek Prajapati
Financial accounting is a specialized branch of accounting that keeps track of a company's financial transactions. Using standardized guidelines, the transactions are recorded, summarized, and presented in a financial report or financial statement such as an income statement or a balance sheet.
This is useful for, BCOM,MCOM,CA,CS,CMA STUDENTS
Introduction to Accounting
By. Prof Navneet Saxena
IBS Gurgaon
Objective:
At the end of this session you should be able to understand
Distinction among Financial Accounting, Cost Accounting and Management Accounting
Evolution of Accounting
Basic Concepts of Financial Accounting
Conventions of Accounting
Stages of Preparing Accounting Statements
From Input to Output
Users of Financial Statements
Advantages of Accounting
Generally Accepted Accounting Principles
For more content and questions refer (Copy and Paste this link)
https://clickuniv.com/introduction-to-accounting/
Follow me on: https://twitter.com/Afzalindian
Here in this slide fundamentals of accounting are discussed. After studying this slide you will be able to know
Meaning and Definition of Accounting
Attributes (Characteristics) of accounting
Functions of Accounting
Accounting Process
Bookkeeping
Objectives of Accounting
Advantages of Accounting
Limitations of Accounting
Users of Accounting Information
Systems of Accounting
Basis of Accounting
Basics of Accounting. Principles and concepts of Accounting
what is Double Entry System of Accounting?what Financial Statements?
Accounting is a process of identifying, recording, summarising and reporting economic information
to decision makers in the form of financial statements.
Financial accounting is the process of Accounting all incomes, expenses, assets & liabilities in monetary terms, thus enabling preparation of principal financial statements. This first lesson as a part of Financial Accounting is brought to you by Welingkar’s Distance Learning Division.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/SlideshareFaccounting
Join us on Facebook: http://www.facebook.com/welearnindia
Follow us on Twitter: https://twitter.com/WeLearnIndia
Read our latest blog at: http://welearnindia.wordpress.com
Subscribe to our Slideshare Channel: http://www.slideshare.net/welingkarDLP
Real estate is something that you can physically touch and feel – it's a real good and, therefore, for many financiar ,feels more real. Maybe this partially accounts for the high return on the venture, as from 1978-2004, real estate has had an average return of 8.6%. For many time this investment has generated consistent wealth and long term respect for millions of people.
Even if you did want to branch out into finance and economics, a background in accountancy lays the valuable groundwork for developing broader monetary theories. Accountants can hone their craft through the application of known methodologies.
An accountancy certification is always valuable. You’ll learn how to focus on money management, financial recording and reporting, and the best processes to save cash for a business or sole traders. These skills are desired in every industry. For most accountants, it’s never hard to find work.
Finance for Managers
(Managerial Accounting)
Role of Financial Information
• Financial information pervades our economy
– It is the primary means of communication between profit seeking
organizations and their stakeholders
– For this reason organizations use financial measures internally as a broad indicator of performance
• This financial information provides a signal that something is wrong, but not what is wrong
• Financial information summarizes underlying activities
– But to explain financial results, managers need to dig deeper
– Detailed information provides additional insight into what is happening to
profits
Auditing Principles for college students. Audit Risk, Business Risk, Information Risk, Assurance, Auditing system, System process, Stages audit, External Auditors, Auditors Responsibility, Auditors independence, Auditors due care, professional skepticism, audit purpose, attestation, Financial reporting, Attestations, Assurance services, Audit services, Express an opinion, Reasonable assurance, Engagement planning, Types of fraud, Frauds, Employee fraud, Advance Business Consulting, jose cintron, mba4help.com, Auditing Principles for college students. Audit Risk, Business Risk, Information Risk, Assurance, Auditing system, System process, Stages audit, External Auditors, Auditors Responsibility, Auditors independence, Auditors due care, professional skepticism, audit purpose, attestation, Financial reporting, Attestations, Assurance services, Audit services, Express an opinion, Reasonable assurance, Engagement planning, Types of fraud, Frauds, Employee fraud, Advance Business Consulting, jose cintron, mba4help.com
Plant Assets, Plant assets and equipment, land, land improvements, Building, depreciation, computing depreciation, depreciation methods, straight line, units of activity, depreciation and taxes, plant assets disposal, retirement of plant assets, gain on disposal, lost on disposal, jose cintron, advance business consulting, jose cintron, MBA, mba4help.com, Plant Assets, Plant assets and equipment, land, land improvements, Building, depreciation, computing depreciation, depreciation methods, straight line, units of activity, depreciation and taxes, plant assets disposal, retirement of plant assets, gain on disposal, lost on disposal, jose cintron, advance business consulting, jose cintron, MBA, mba4help.com
Accounting, accountant, debits and credits, accounting equation, internal users of accounting, external user of accounting, assets, liabilities, equity, T accounts, natural balance, accounting cycle. Accounting principles, Jose Cintron, MBA, Advance Business Consulting, Jose Cintron, mba4help.com
Operation “Blue Star” is the only event in the history of Independent India where the state went into war with its own people. Even after about 40 years it is not clear if it was culmination of states anger over people of the region, a political game of power or start of dictatorial chapter in the democratic setup.
The people of Punjab felt alienated from main stream due to denial of their just demands during a long democratic struggle since independence. As it happen all over the word, it led to militant struggle with great loss of lives of military, police and civilian personnel. Killing of Indira Gandhi and massacre of innocent Sikhs in Delhi and other India cities was also associated with this movement.
Francesca Gottschalk - How can education support child empowerment.pptxEduSkills OECD
Francesca Gottschalk from the OECD’s Centre for Educational Research and Innovation presents at the Ask an Expert Webinar: How can education support child empowerment?
Instructions for Submissions thorugh G- Classroom.pptxJheel Barad
This presentation provides a briefing on how to upload submissions and documents in Google Classroom. It was prepared as part of an orientation for new Sainik School in-service teacher trainees. As a training officer, my goal is to ensure that you are comfortable and proficient with this essential tool for managing assignments and fostering student engagement.
Read| The latest issue of The Challenger is here! We are thrilled to announce that our school paper has qualified for the NATIONAL SCHOOLS PRESS CONFERENCE (NSPC) 2024. Thank you for your unwavering support and trust. Dive into the stories that made us stand out!
A Strategic Approach: GenAI in EducationPeter Windle
Artificial Intelligence (AI) technologies such as Generative AI, Image Generators and Large Language Models have had a dramatic impact on teaching, learning and assessment over the past 18 months. The most immediate threat AI posed was to Academic Integrity with Higher Education Institutes (HEIs) focusing their efforts on combating the use of GenAI in assessment. Guidelines were developed for staff and students, policies put in place too. Innovative educators have forged paths in the use of Generative AI for teaching, learning and assessments leading to pockets of transformation springing up across HEIs, often with little or no top-down guidance, support or direction.
This Gasta posits a strategic approach to integrating AI into HEIs to prepare staff, students and the curriculum for an evolving world and workplace. We will highlight the advantages of working with these technologies beyond the realm of teaching, learning and assessment by considering prompt engineering skills, industry impact, curriculum changes, and the need for staff upskilling. In contrast, not engaging strategically with Generative AI poses risks, including falling behind peers, missed opportunities and failing to ensure our graduates remain employable. The rapid evolution of AI technologies necessitates a proactive and strategic approach if we are to remain relevant.
The French Revolution, which began in 1789, was a period of radical social and political upheaval in France. It marked the decline of absolute monarchies, the rise of secular and democratic republics, and the eventual rise of Napoleon Bonaparte. This revolutionary period is crucial in understanding the transition from feudalism to modernity in Europe.
For more information, visit-www.vavaclasses.com
Model Attribute Check Company Auto PropertyCeline George
In Odoo, the multi-company feature allows you to manage multiple companies within a single Odoo database instance. Each company can have its own configurations while still sharing common resources such as products, customers, and suppliers.
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
June 3, 2024 Anti-Semitism Letter Sent to MIT President Kornbluth and MIT Cor...Levi Shapiro
Letter from the Congress of the United States regarding Anti-Semitism sent June 3rd to MIT President Sally Kornbluth, MIT Corp Chair, Mark Gorenberg
Dear Dr. Kornbluth and Mr. Gorenberg,
The US House of Representatives is deeply concerned by ongoing and pervasive acts of antisemitic
harassment and intimidation at the Massachusetts Institute of Technology (MIT). Failing to act decisively to ensure a safe learning environment for all students would be a grave dereliction of your responsibilities as President of MIT and Chair of the MIT Corporation.
This Congress will not stand idly by and allow an environment hostile to Jewish students to persist. The House believes that your institution is in violation of Title VI of the Civil Rights Act, and the inability or
unwillingness to rectify this violation through action requires accountability.
Postsecondary education is a unique opportunity for students to learn and have their ideas and beliefs challenged. However, universities receiving hundreds of millions of federal funds annually have denied
students that opportunity and have been hijacked to become venues for the promotion of terrorism, antisemitic harassment and intimidation, unlawful encampments, and in some cases, assaults and riots.
The House of Representatives will not countenance the use of federal funds to indoctrinate students into hateful, antisemitic, anti-American supporters of terrorism. Investigations into campus antisemitism by the Committee on Education and the Workforce and the Committee on Ways and Means have been expanded into a Congress-wide probe across all relevant jurisdictions to address this national crisis. The undersigned Committees will conduct oversight into the use of federal funds at MIT and its learning environment under authorities granted to each Committee.
• The Committee on Education and the Workforce has been investigating your institution since December 7, 2023. The Committee has broad jurisdiction over postsecondary education, including its compliance with Title VI of the Civil Rights Act, campus safety concerns over disruptions to the learning environment, and the awarding of federal student aid under the Higher Education Act.
• The Committee on Oversight and Accountability is investigating the sources of funding and other support flowing to groups espousing pro-Hamas propaganda and engaged in antisemitic harassment and intimidation of students. The Committee on Oversight and Accountability is the principal oversight committee of the US House of Representatives and has broad authority to investigate “any matter” at “any time” under House Rule X.
• The Committee on Ways and Means has been investigating several universities since November 15, 2023, when the Committee held a hearing entitled From Ivory Towers to Dark Corners: Investigating the Nexus Between Antisemitism, Tax-Exempt Universities, and Terror Financing. The Committee followed the hearing with letters to those institutions on January 10, 202
2. www.mba4help.com
Accounting
Accounting is the art of recording, summarizing, reporting, and
analyzing financial transactions.
Accountancy is the process of communicating financial information
about a business entity to users such as shareholders, owners, partners
and managers. The communication is generally in the form of financial
statements that show in money terms the economic resources under the
control of management; the art lies in selecting the information that is
relevant to the user. (wiki)
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Accountants
Accountants use the work done by bookkeepers to produce and analyze
financial reports. Although accounting follows the same principles and
rules as bookkeeping, an accountant can design a system that will
capture all of the details necessary to satisfy the needs of the
business managerial, financial reporting, projection, analysis, and tax
reporting.
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Debits and Credits
Increases with Debits
The Debit side of an account
represents increases in asset
accounts, expense accounts, and
Drawing.
Increases with Credits
The Credit side of an account
represents increases in liability
accounts, revenue accounts,
and Capital.
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Natural Balance
Assets, Liabilities, Equities, Revenues, or Expenses. These account
types all have natural balances that are debits or credits.
The natural balances of each account type are:
Assets: Debit
Liabilities: Credit
Equities: Credit
Revenues: Credit
Expenses: Debit
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Business Activities
Financing Activities
Financing activities are transactions that are involved with
financing the company and/or individual customer financing.
Any transaction like a loan or anything bought on credit
would be this type. Any monies paid on principle or interest
paid would be considered a financing activity and would go
in that section of the Statement of Cash Flows. Dividends
paid to shareholders or the repurchase of stock would also
be considered a financing activity.
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Business Activities
Investing Activities
Investing transactions are those that are not part of daily
operation of the company and are used solely for investing
purposes. Small term investments would be considered
obviously, but any loans made to customers or other entities
would also be considered an investing transaction. Dividends
and interest earned on investments would also qualify under
the investing category for Statement of Cash Flows.
Purchases of long term investments such as land, equipment
or property will also be viewed as an investment.
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Business Activities
Operating Activities
Operating activities are all the different activities a company
will do in their day-to-day business practices involved with
running the company. This would be anything from paying
bills, employees and utilities expenses. Product cost and
delivery cost are also operating activities, expenditures made
to keep the company running. Sales and income from
operations are also put in the operating section.
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GAAP and FASB
GAAP- generally accepted accounting principles: a collection of rules
and procedures and conventions that define accepted accounting practice;
includes broad guidelines as well as detailed procedures.
FASB- Financial Accounting Standards Board: designated private sector
organization in the U.S. that establishes financial accounting and
reporting standards.
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Business Structures
PARTNERSHIP
• Business owned by at least two people
• legal existence of partnership is extension of partners
• may have any number of employees
• Pay single taxation
• Must be in writing for more than one year
• Owners are fully liable- Unlimited liability
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Business Structures
CORPORATION
• an entity created by a state stature
• exists separately from and independently of the owners
• may have one of more owners
• owners are called shareholders or stockholders
• ownership evidenced by stock certificate
• Limited Liability by owners
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Ratio to Assess Liquidity
A company’s liquidity refers to home much cash a company has and
how easily the company’s current assets can be converted into cash.
This is crucial because companies must have cash or high liquid assets to
pay debts, Shareholders, investors, and executives.
Company may have to sell more stock to raise capital/funds to pay their
bills.
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Quick and Current Ratio
Quick Ratio= Current Assets - inventory
Current liabilities
Current Ratio= Current Assets (including inventory)
Current Liabilities
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Revenue Recognition Principle
The revenue recognition principle states that, under the accrual basis of
accounting, you should only record revenue when an entity has
substantially completed a revenue generation process; thus, you record
revenue when it has been earned.
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Accrual vs. Cash
In accrual basis accounting, income is reported in the fiscal period it is
earned, regardless of when it is received, and expenses are deducted in
the fiscal period they are incurred, whether they are paid or not. In other
words, using accrual basis accounting, you record both revenues and
expenses when they occur. Use for all medium and larges businesses.
In cash basis accounting, revenues are recorded when cash is actually
received and expenses are recorded when they are actually paid (no
matter when they were actually invoiced). Mostly use by small
businesses like mom and dad.
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Accrual vs Cash
Under the accrual basis, companies record transactions that change a
company's financial statements in the periods in which the events occur.
recognize revenues when earned and recognizing expenses when
incurred (rather than when paid). Follow GAAP
Under cash-basis accounting, companies record revenue when they
receive cash. They record an expense when they pay out cash.
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Accrual vs. Cash
Companies pay for some types of expenses after the services have been
performed. Examples are employee salaries and commissions. Pioneer
last paid salaries on October 26; the next payday is November 9. As the
calendar
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Why adjusting entries
A company must make adjusting entries every time it
prepares financial statements.
It analyzes each account in the trial balance to determine
whether it is complete and up-to-date.
Adjusting entries are needed to
enable financial statements to
conform to GAAP
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Adjusting Entries
1
.
Some events are not recorded daily because it is not efficient to do so. For example,
companies do not record the daily use of supplies or the earning of wages by
employees.
2
.
Some costs are not recorded during the accounting period because they expire with the
passage of time rather than as a result of daily transactions. Examples are rent,
insurance, and charges related to the use of equipment.
3
.
Some items may be unrecorded. An example is a utility bill that the company will not
receive until the next accounting period
The trial balance—the first summarization of the transactiondata
may not contain up to date and complete data for the following reasons:
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Adjusting entries are classified
as either deferrals or accruals
Deferrals are either prepaid expenses or unearned revenues.
Companies make adjustments for deferrals to record the portion of
the deferral that represents the expense incurred or the revenue
earned in the current period.
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Costs for a merchandising
The flow of costs for a merchandising company is as follows: Beginning
inventory is added to the cost of goods purchased to arrive at cost of
goods available for sale. Cost of goods available for sale is assigned to
the cost of goods sold (goods sold this period) and ending inventory
(goods to be sold in the future). Companies use one of two systems to
account for inventory: a perpetual inventory system or a periodic
inventory system.
46. www.mba4help.com
Prepare a multiple-step
income statement
Debit Credit
Cash 14,500 Accumulated Depreciation 18,000
Accounts Receivable 11,100 Notes Payable 25,000
Merchandise Inventory 29,000 Accounts Payable 10,600
Prepaid Insurance 2,500 Larry Falcetto, Capital 81,000
Store Equipment 95,000 Sales 536,800
Larry Falcetto, Drawing 12,000 Interest Revenue 2,500
Sales Returns and Allowances 11,700 673,900
Cost of Goods Sold 363,400
Advertising Expense 19,600
Salaries Expense 56,000
Utilities Expense 18,000
Rent Expense 24,000
Depreciation Expense 9,000
Insurance Expense 4,500
Interest Expense 3,600
673,900
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Income Statement Solution
Income Statement
For the Year Ended December 31, 2010
Sales revenues
Sales $536,800
Less: Sales returns and allowances $11,700
Net sales 525,100
Cost of goods sold 363,400
Gross profit 161,700
Operating expenses
Salaries expense 56,000
Rent expense 24,000
Utilities expense 18,000
Advertising expense 19,600
Depreciation expense 9,000
Insurance expense 4,500
Total operating expenses 131,100
Income from operations 30,600
Other revenues and gains
Interest revenue 2,500
Other expenses and losses
Interest expense 3,600 -1,100
Net income $ 29,500
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Perpetual Inventory
In a perpetual inventory system, companies keep detailed records of the
cost of each inventory purchase and sale. These records continuously—
perpetually—show the inventory that should be on hand for every item
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Periodic Inventory
In a periodic inventory system, companies do not keep detailed
inventory records of the goods on hand throughout the period. Instead,
they determine the cost of goods sold only at the end of the accounting
period—that is, periodically. At that point, the company takes a physical
inventory count to determine the cost of goods on hand.
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Cost of goods sold
*Amount charged to cost of goods sold depend on the inventory system.
There are three assumed cost flow methods:
1. First-in, first-out (FIFO)
2. Last-in, first-out (LIFO)
3. Average-cost
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Determine the cost of goods sold
The accounting records of AGM show the following data.
Beginning inventory 4,000 units at $ 3
Purchases 6,000 units at $ 4
Sales 7,000 units at $12
Determine the cost of goods available for sale, ending inventory units,
and cost of goods sold during the period under:
(a) the FIFO method,
(b) the LIFO method,
(c) the average-cost method.