Answered: Briefly discuss how analysis of…

Name: IFRS9-2. LaTour Inc. is based in France and prepares its financial st
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Description: IFRS9-2. LaTour Inc. is based in France and prepares its financial statements in accordance with IFRS. In 2017, it reported cost of goods sold of $578 million and average inventory of $154 million. Briefly discuss how analysis of LaTour's inventory

Business

Accounting

Briefly discuss how analysis of LaTour's inventory turnover (and comparisons to a company using GAAP) might be affected by differences in inventory accounting between IFRS and GAAP.

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.12E: Inventory analysis Costco Wholesale Corporation (COST) and Wal-Mart Stores Inc. (WMT) compete...

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Shindig Company is preparing its 2013 year-end financial statements. prior to any adjustments, inventory is valued at P7,600,000. The following information has been found relating to certain inventory transactions Goods valued at P 1,000,000 are on consignment with a customer. These goods are not included in the year-end inventory figure. Goods costing P250,000 were received from a vendor on January 5, 2014. The related invoice was received and recorded on January 12, 2014. The goods were shipped on December 31, 2013, terms FOB shipping point. Goods costing P 850,000 were shipped on December 31, 2013, and were delivered to the customer on January 2, 2014. The terms of the invoice were FOB shipping point. The goods were included in ending inventory for 2013 even though the sale was recorded in 2013. A P350,000 shipment of goods to a customer on December 31, 2013 terms FOB destination, was not included in the year-end inventory. The goods cost P260,00 and were delivered to the customer…
Walgreens Boots Alliance, Inc. reported inventories of $8,678 million and $6,076 million in its August 31,2015, and August 31, 2014, balance sheets, respectively. Cost of goods sold for the year ended August 31, 2015,was $76,520 million. The company uses primarily the LIFO inventory method. A disclosure note reported that ifFIFO had been used instead of LIFO, inventory would have been higher by $2,500 million and $2,300 million atthe end of the August 31, 2015, and August 31, 2014, periods, respectively. Calculate cost of goods sold for theyear ended August 31, 2015, assuming Walgreens used FIFO instead of LIFO.
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During 2016, Jose Corporation transferred inventory from its home office to itsLaguna Branch at a billed price of P110,000. The inventory originally cost thecompany P90,000. The home office reported sales and cost of goods sold ofP1,400,000 and P590,000, respectively. The Laguna branch reported sales and costof goods sold of P675,000 and P300,000, respectively. All of the inventory had beensold by year – end. What is the cost of goods sold to be reported in the 2016 combined statement of comprehensive income?
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