5. • Almarai is a Saudi joint stock
company working in the fields
of agriculture dairy products,
and food distribution, covering
Saudi Arabia and the Arab gulf
countries
• Nationality:Saudi
• Incorporation:1977
• Head quarters:Alriyadh,Saudi
Arabia
• Products :dairy products,
yogurt,juice,bread,poultry and
infant formula
6.
7.
8. Perpetual system
• Use the word inventory
• This system is used in large
organizations that own a
computer system
• inventor’s account should be
updated after each sales or
purchase transaction
• The COGS should be calculated
and recorded after each sales
transaction
Periodic system
• Use the word purchase
• This system is used in small
organization that don’t have a
computer system
• There is no update of the
inventory account until the end of
the accounting period
• The COGS is to be calculated at
the end of Accounting period
9. Methods of calculating cost of inventory :
Almarai company calculate their cost of inventory by
average inventory method
FIFO
LIFO
Average
10. Inventory turnover for 2023:
Inventory turnover shows how
many times a company turns over
it's inventory during a period
indicator for how well
management is controlling the
amount of inventory available.
Average
inventory=(beginning+ending)÷2
Inventory turnover=
COGS÷average
13. Account Receivable turn
over measure used to
determine a company’s
average collection period
for receivables. Computed
by diving net sales “credit
sales” by average account
receivable.
Average Account receivable
= ( beginning +ending)÷2
Account receivable turn
over = net sales ÷average
Acc receivable
16. Property plant and
equipment:are
resources that have a
physical substance, are
used in the operations
business and are not
intended for sale to
customers. They are
also called plant assets
or fixed aseets
