Macintosh Inc. changed from LIFO to the FIFO inventory costing method on January 1, 2021. Inventory values at the end of each year since the inception of the company are as follows: FIFO LIFO 2019 $200,000 $180,000 2020 400,000 360,000   Ignoring income tax considerations, prepare the entry, in good form, to report this accounting change. Show well-labeled calculations for journal entry amounts or a note why no entry is required

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A: Periodic inventory system is an inventory system under which all purchase and sale of inventories…

Q: Diderot Stores Inc., which uses the conventional retail inventory method, wishes to change to the…

A: Conventional retail inventory method is related upon the relationship between cost of product and…

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A: Answer:-  In the lower of cost and net realizable value which can be treated in the inventory price…

Q: During 2022, Bamboo Inc. decided to change from FIFO method of inventory valuation to the weighted…

A: The FIFO method implies that the inventory first purchased is to be sold first.  The weighted…

Q: 3. & 4. Determine the balance in retained earnings at January 1, 2020 as Fieri reported using FIFO…

A: Solution:- Given, Revenue = $390 mil Cost of goods sold FIFO = $39 mil ; Average = $54 mil…

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A: FIFO is the method of valuation of inventory in which the earliest inventory hold by the…

Q: Bartleby Graduate Inc. was organized on January 1, 2020. On December 31, 2021, the company lost most…

A: Solution-1   Inventory January 1, 2020 P0 Add: Purchases P8,90,000 Less: Purchase return and…

Q: Ignoring income tax considerations, prepare the entry to report this accounting change.

A: Given are the inventory values for year 2016 and 2017 as per LIFO method and FIFO method.

Q: ndi Khough Alam Corporation appropriately changed its inventory costing method from FIFO cost to…

A: Impact of change in the evaluating of Inventory from FIFO to Weighted Average.

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Q: During 2021, Colombo Company changed its inventory costing method from FIFO to weighted average…

A: Inventory is one of the important current asset of the business. Regular management and valuation of…

Q: Tulip Company decided to change from LIFO to FIFO inventory costing, effective January 1, 2020. The…

A:

Q: Rockets Inc. changed from LIFO to the FIFO inventory costing method on January 1, 2021. Inventory…

A: LIFO is that inventory valuation method under which inventories which are purchased in last will be…

Q: Zac Company has following information related to its financial statements in 2020:  (1) Zac changed…

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Q: Pierce Ltd. (Pierce) decided to change the costing method for its inventory at its December 31,…

A: Inventories are valued as per the accounting and valuation method followed by the company. There are…

Q: During 2019 (its first year of operations) and 2020, Fieri Foods used the FIFO inventory costing…

A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS  Prepare the journal entry at the beginning of 2013…

Q: In 2021, CPS Company changed its method of valuing inventory from the FIFO method to the average…

A: Working note: Calculate the amount of inventory: Amount of Inventory=CPS inventories on 31/12/2020…

Q: Presented below are income statements prepared on a LIFO and FIFO basis for Kenseth Company, which…

A: comparative income statements of Kenseth Company for the years 2020 and 2019 :

Q: In 2020, Bevins Company decided to change from LIFO to FIFO due to better representation of the flow…

A: GIVEN     In 2020, Bevins Company decided to change from LIFO to FIFO due to better representation…

Q: During 2019, DGP Company decided to change from the FIFO inventory valuation to the weighted average…

A: The change in valuation of inventory will be accounted as change in accounting policy.  Which…

Q: On December 31, 2020, Fire Corporation appropriately changed its inventory costing method from FIFO…

A: Inventory costing methods can be of various types such as FIFO, LIFO, weighted average etc. The…

Q: In 2021, CPS Company changed its method of valuing inventory from the FIFO method to the average…

A: Journalize the adjusting entry:     Working notes:   Compute the change in inventory:   Inventory…

Q: John Olerud Ltd., a local retailing concern in the Bronx, New York, has decided to change from the…

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Q: Corporation is preparing the 2020 year-end financial statements. Prior to any adjustments, inventory…

A: Inventory is that the term used to refer to the products that are available for sale and therefore…

Q: The Cecil-Booker Vending Company changed its method of valuing inventory from the average cost…

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Q: Mikrokosmos Co. prepared its annual financial statements on a calendar-year basis. In 2020,…

A: Journal entry:   It is the first step of recording transactions of a company. Before this, no other…

Q: The Cecil-Booker Vending Company changed its method of valuing inventory from the average cost…

A: Effect on change of method: When the company changed the method of the inventory valuation then on…

Q: Humanoid Company has been using the FIFO method of inventory costing since it began operations in…

A: The cost of goods sold is calculated as difference between cost of goods available for sale and…

Q: Bartleby Graduate Inc. was organized on January 1, 2020. On December 31, 2021, the company lost most…

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Q: he accounting records of DUB Co. showed these data for 2020: Inventory, January 1 P500,000 Purchases…

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Q: mber 31, 2021, Aries Corporation appropriately changed its inventory costing method from FIFO cost…

A: Basic Concept of Impact of change in Inventory Valuation

Q: The Cecil-Booker Vending Company changed its method of valuing inventory from the average cost…

A: The answer is as fallows

Q: Accounting Tulip Company decided to change from LIFO to FIFO inventory costing, effective January 1,…

A: Introduction: Net income is an individual's income after taxes and deductions are deducted.…

Q: During 2019 (its first year of operations) and 2020, Fieri Foods used the FIFO inventory costing…

A: Part 1:

Q: Crane Company sells TVs. The perpetual inventory was stated as $37,300 on the books at December 31,…

A: Given that the inventory balance on the books as on Dec 31, 2020 = $37,300 Cut-off procedures has to…

Q: Vogts Company sells TVs. The perpetual inventory was stated as P 28,500 on the books at December 31,…

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

Q: On December 31, 2021, ECHO Company appropriately changed its inventory valuation method to the FIFO…

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Q: On December 31, 2020, Healy, Inc. appropriately changed its inventory valuation method to FIFO cost…

A: Change in inventory valuation will result increase in beginning inventory of $ 500000

Q: Humanoid Company has been using the FIFO method of inventory costing since it began operations in…

A: Cost of goods sold = Beginning inventory + Purchases - Ending inventory  With increase in beginning…

Q: On December 31, 2021, BLACK MAMBA Company appropriately changed its inventory valuation method to…

A: Introduction: A corporation's income statement details its performance over a specific time period,…

Q: During 2019 (its first year of operations) and 2020, Fieri Foods used the FIFO inventory costing…

A: The income statement is one of the important financial statement of the business which is prepared…

Q: Aquatic Equipment Corporation decided to switch from the LIFO method of costing inventories to the…

A: Adjusted Net Income=Ending inventory Differential amount×100-Tax rate%=$66,000×100-40%=$39,600

Q: Tulip Company decided to change from LIFO to FIFO inventory costing, effective January 1, 2020. The…

A: Inventory costing, often known as inventory cost accounting, is the process through which businesses…

Q: Tulip Company decided to change from LIFO to FIFO inventory costing, effective January 1, 2020. The…

A: Changes in the inventory valuation method have a retrospective effect on the net income for the…

Q: In 2021, Hopyard Lumber changed its inventory method from LIFO to FIFO. Inventory at the end of 2020…

A: Computation of Change in Inventory Value Particular FIFO LIFO Opening Inventory $ 137,000 $…

Q: Apple Inc. changed from LIFO to the FIFO inventory costing method on January 1, 2021. Costs of goods…

A: Changes in the method of inventory always impacted the retained earnings of the company. In case of…

Q: On January 2, 2022, TITAN Company changed its inventory cost flow method to FIFO from average for…

A: As the question specified ignoring income taxes. The cumulative effect on retained earnings will…

Q: Dynamite Company’s accounting records indicated the following for 2020: • Inventory, January 1-…

A: Gross profit  ratio = Gross profit / Sales Gross profit = Sales - Cost of goods sold

Q: Aquatic Equipment Corporation decided to switch from the LIFO method of costing inventories to the…

A: Change in Accounting Principle: When an entity decides to change the valuation principle of its…