Given the​ following, journalize the adjusting entry for Merchandise Inventory. Note that physical count of inventory showed a balance of $59,500.

Q: Record the adjustment into T accounts and then journalize the adjusting entry.

A: Whenever there is decrease /increase of the physical inventory in comparison to the book value then…

Q: A company reports inventory using the lower of cost and net realizable value (NRV). Below is…

A: Adjusting entries are prepared at the end of the accounting period to ensure the accrual base…

Q: 1. Determine the inventory on June 30 and the cost of merchandise sold for the three-month period,…

A: In inventory valuation, There are three methods of valuation of inventory. They are: 1. First in…

Q: Assuming a perpetual inventory system and using the last-in, first-out (LIFO) method, determine (a)…

A: In the perpetual inventory system transaction of consumption/ sales of inventory is recorded and…

Q: Assume the perpetual inventory system is used unless stated otherwise. Round all numbers to the…

A: Prepare adjusting entry:

Q: Beginning inventory, purchases, and sales for Item FK7 are as follows: Sept. 1 Inventory 115 units…

A: LIFO: LIFO stands for Last-In, First-Out. As its name suggest, this method assumes that the most…

Q: Assuming a perpetual inventory system and the first-in, first-out method, determine (a) the cost of…

A: Introduction:- FIFO means First-in-first-out It is one of the inventory valuation method. As per…

Q: Sold merchandise on account, $72,500 with terms 2/10, n/30. The cost of the merchandise sold was…

A: Discount amount = Amount receivable x rate of discount = $72,500 x 2% = $1,450

Q: Determining the Beginning and Ending Inventory from a Partial Spreadsheet: Periodic Inventory System…

A: Formula: Beginning inventory = Merchandise inventory + Estimated returns inventory. ( Credit side…

Q: Assume that a perpetual inventory system is used and the records indicate that$191,400 of…

A: Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: The Rock Shop shows the following data related to an item of inventory: Inventory, January 1…

A: Periodic and perpetual are two type of inventory system, inventory under periodic inventory system…

Q: Hahn Flooring Company uses a perpetual inventory system. Journalize the December 31 adjusting…

A: Adjusting entries: Adjusting entries are those entries that are recorded at the end of the year, to…

Q: Beginning inventory, purchases, and sales for Item PK95 are as follows: May 1 Inventory 48 units @…

A: FIFO: FIFO stands for First-In, First-Out. As its name suggest, this method assumes that the oldest…

Q: Requirements: 1. Prepare Financial Statements( Income statement and Statement of financial Position)…

A: Closing Entries refer to journal entries to close the nominal accounts i.e. Incomes, gains,…

Q: Delmar Industries uses the perpetual inventory method in accounting for inventory. Prepare the…

A: Inventory means the stock lying with business. There might be difference between the physical…

Q: Determine the cost of goods sold for the transaction on October 25 using the perpetual inventory…

A: Correct answer is – b.$137  Compute total units and total units sold for the period as shown below:

Q: The Merchandise Inventory account balance is $56,000. A physical count of inventory reveals that the…

A: SOLUTION- AS PER THE INFORMATION GIVEN IN THE QUESTION  WE HAVE- ACTUAL MERCHANDISE INVENTORY =…

Q: Under the periodic inventory system, which of the following accounts is debited when inventory is…

A: Solution:- Under the periodic inventory system the following accounts is debited when inventory is…

Q: The following information pertains merchandise inventory of Bloom Company at the end of year.  Apply…

A: As per the accounting standards, the inventory is valued at, lower of cost or market price. In the…

Q: Journalize the following merchandise transactions. The company uses the perpetual inventory system.…

A: Perpetual Inventory System: Perpetual Inventory System refers to the inventory system that maintains…

Q: Assuming a periodic inventory system is used, the journal entry to record the purchase of…

A: Let's understand some basics Merchandise is the term used to refer to any goods purchased for the…

Q: Hazards company had the following dald. Beginning inventory (on May 1) $190 Purchases during May…

A: The direct expenses of manufacturing the commodities supplied by a corporation are referred to as…

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A:

Q: Under the periodic inventory system, the entry to record a purchase of P60,000, with terms 2/10.…

A: A periodic inventory system refers to accounting for purchases and sales directly in books and…

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A: Retail method: This method of estimating cost of inventory requires cost and retail prices to be…

Q: The amount shown in the adjustments credit column for Merchandise Inventory on the worksheet​ is:…

A: COGS is an expense item computed by subtracting the closing stock from the sum of the opening stock…

Q: Assuming a perpetual inventory system and the first-in, first-out method, determine (a) the cost of…

A: Perpetual inventory system: The method or system of maintaining, recording, and adjusting the…

Q: Beginning inventory, purchases, and sales for Item FK7 are as follows: Sep 1     inventory     115…

A: Perpetual inventory system: It is a method of inventory management that records real time…

Q: Determine the gross profit, cost of merchandise sold, and ending inventory on July 31 using the (a)…

A: Gross Profit is the difference between Sales and COGS. Gross profit indicates how much profit…

Q: For each of the following scenarios, determine the inventory amount that should be reported on the…

A: Under FOB destination, titles of goods are transferred to the buyer only when goods are delivered to…

Q: Beginning inventory, purchases, and sales for Item MMM8 are as follows: November 1 Inventory 104 15…

A: LIFO: LIFO stands for Last-In, First-Out. As its name suggest, this method assumes that the most…

Q: Click Computers's Merchandise Inventory account at year-end is showing a balance of $43,000. The…

A: The inventory shrinkage occurs when the physical count of inventory is less than the recorded value…

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A: Ending inventory = Merchandise inventory at retail price x Ratio of cost

Q: Determining the Beginning and Ending Inventory from a Partial Sp Periodic Inventory System From the…

A: The term inventory refers to both the raw materials in the manufacture and the finished goods that…

Q: Assuming a perpetual inventory system and using the last-in, first-out (LIFO) method, what would the…

A: The cost of goods sold is the total amount your company paid as a cost directly related to the sale…

Q: The beginning inventory at Midnight Supplies and data on purchases and sales for a three-month…

A: As per First in First Out method(FIFO) inventory sold is from units purchased earlier, therefore…

Q: The beginning inventory of merchandise at Dunne Co. and data on purchases and sales for a…

A: Working note:   Compute total value of sales as shown below:     Compute cost of ending inventory…

Q: The accounting records of Kingbird Electronics show the following data. Beginning inventory   2,400…

A: Number of units sold during the period is 7,500 units.

Q: Determine the cost of the inventory on December 31 by the weighted average cost method. Purchases…

A: Determination of cost of inventory on December 31   Cost of Inventory using FIFO Method Model…

Q: Assuming a perpetual inventory system and using the last-in, first-out (LIFO) method, determine (a)…

A: In the LIFO method, the latest units should be sold first, and the oldest units should be kept under…

Q: Beginning inventory, purchases, and sales for Item B901 are as follows: January 1 Inventory 36 units…

A: FIFO: FIFO stands for First-In, First-Out. As its name suggest, this method assumes that the oldest…

Q: Inventory that cost $500 is sold for $700, with terms of 2/10, n/30. Give the journal entries…

A: Discount = Amount receivable x rate of discount = $700 x 2% = $14

Q: Beginning inventory, purchases, and sales for Item B901 are as follows: August 1 Inventory 54 units…

A: Under FIFO method, the good purchased at first are sold first.

Q: Beginning inventory, purchases, and sales of a commodity are presented below:…

A: FIFO: Oldest purchases from the inventory will be sold first LIFO: sales will be made from most…

Q: The cost of merchandise sold and merchandise inventory is determined from the inventory cost flow…

A: Cost Accounting:- Cost accounting’s main aim to capture the total or overall costs of the firm that…

Q: Beginning inventory, purchases, and sales for Item FK7 are as follows:  Sept.      1   Inventory 115…

A: Perpetual Inventory System: Perpetual inventory system is the method of recording stores balances…

Q: 1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual inventory…

A: The cost of goods sold is the cost of the goods or the value of the inventory which has been sold…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.