Task description: Explain considerations for businesses while developing and selecting their Inventory system from FIFO, LIFO and Weighted Average. You need to explain the reason for choosing of the efficient and appropriate inventory system according to the nature of a business, industry regulations, and the standards in Australia.

Q: Inventory carrying costs: include the costs of generating memos, fax transmissions, etc. associated…

A: Inventory carrying cost is the total of all expenses related to storing goods which are not sold…

Q: Sales revenue is generated by the sale of inventory. Companies can choose between the perpetual and…

A: Introduction: All product and service sales are included in sales revenue, although they are not…

Q: 1.a. In what ways are the inventory accounts of a merchandising company different from those of a…

A: We have to provide difference between inventory accounts of merchandising company and manufacturing…

Q: SYSTEM DOCUMENTATION EXPENDITURE CYCLE (MANUAL PROCEDURES) The following describes the expenditure…

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Q: Briefly explain the following terms

A: 1. Matching principle : The income recognition theory in accrual reporting specifies that earnings…

Q: The level of inventory a company maintains has important economic consequences, and it involves…

A: Ending inventory refers to the inventory which is left at the end of the accounting period. This…

Q: Identify and explain the inventory asset and cost flows of a merchandising company.

A: Stock or stock is the goods and services a corporation keeps for the final resale intent. Inventory…

Q: Which of the following costs do not come under inventory carrying cost calculation? Investment in a…

A: The ideal order quantity for a corporation to purchase in order to minimize inventory costs is known…

Q: A cost management system provides ________. A) measures of inventory value and cost of goods sold…

A: Management accounting refers to the provision of the financial as well as non- financial decision…

Q: Concept Integration. Your appliance manufacturingcompany recently implemented a just-in-time…

A: Just-in-time (JIT) is an inventory management technique which aims to minimise handling cost of the…

Q: Hugo Ltd., follows the LIFO system. From the particulars given below, ascertain the cost of sales…

A: Last-in, first-out method: Under the last-in-first-out method goods that are brought at later dates…

Q: SYSTEM DOCUMENTATION-EXPENDITURE CYCLE (MANUAL PROCEDURES)The following describes the expenditure…

A: Date Flow Diagram for Expenditure Cycle: Explanation: The above diagram shows the expenditure…

Q: Explain considerations for businesses while developing and selecting their Inventory system from…

A: FIFO method is the method of valuation of inventories. The inventories are sold at the time from…

Q: Distinguish among the types of inventory accounts for merchandising and manufacturing companies.

A: Merchandising firm means a firm which only deals in sale and purchase of a commodity but do not…

Q: What inventory systems do you know are used in a buying and selling business?

A: The inventory systems popularly used are the  1) Perpetual inventory system  2) Periodic inventory…

Q: 9. An inventory accounting policy that should be disclosed in a summary of significant accounting…

A: It is a footnote that accompany company financial statements. Such disclosure should form part of…

Q: Every company or organisation placed inventory as an important aspect for their  businesses. Discuss…

A: Inventory can be defined as assets held for sale in the ordinary course of business or in the…

Q: Planning and regulating inventory use and their associated expenses is the focus of a substantial…

A: When a wholesaler or trader buys items from manufacturers or wholesalers and resells them, this is…

Q: ) Is the accounting cycle in a merchandising operations different from a service operations?…

A: 1) yes the accounting cycle in a merchandising operations is different from a service operations .…

Q: SYSTEM DOCUMENTATION EXPENDITURE CYCLE (MANUAL PROCEDURES) The following describes the expenditure…

A: Data flow diagrams for the expenditure cycle are as follows :

Q: Discuss three main reasons for holding inventories. (6 marks) 2-Discuss why Organizations seek to…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: Which of the following methods is appropriate for a business whose inventory consists of a…

A: Inventory valuation methods are different methods used to allocate the value to the inventory. They…

Q: A merchandising business purchases goods for resale. A merchandiser makes a profit by selling goods…

A: Under the FIFO method, the cost of goods sold contains the cost of the earliest purchases. Under the…

Q: discuss which inventory valuation methods would most likely be used by the following businesses and…

A: Inventory valuation means identifying the stock in an organisation and finding its financial value…

Q: Briefly explain the similarity and difference between the merchandise inventory of a retailer and…

A: Inventory or stock are goods which can be in the form of raw materials, after processing the raw…

Q: Nature of the entity's business: For example, if the entity is a huge retailer having several…

A: Management accountant are those accountant who works within the company in order to present as well…

Q: Consider the inventory of a retailer. Describe how the qualities of information presented in this…

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Q: Which one of the following inventory management approaches determines the finished goods inventory…

A: Introduction: To run the day-to-day business, the inventory management system is essential or as it…

Q: When a company organizes its inventory based on its relative importance, it is using Select one: O…

A: ABC analysis is a technique for material management. It is categorization of items into 3 categories…

Q: Need Help on the following question. Question #1 You have been hired by the CEO of a…

A: Inventory: The goods held by organization for using it captively for production of goods and…

Q: Journal entries for recording revenue and costs for service provider. For a traditional…

A: Prepare journal entries for the service companies:

Q: identify the correct statement from the following: Weighted average method can be used for inventory…

A: Weighted average valuation for inventory method means a method in which assign average cost of…

Q: (Inventoriable Goods and Costs) George Solti, the controller for Garrison Lumber Company, has…

A: Inventory:   Inventory refers to the raw materials, work-in process, and the finished goods…

Q: (Inventoriable Goods and Costs) Clay Mattews, an inventory control specialist, is interested in…

A:

Q: Indicate whether the following financial statement items apply to a manufacturer, a merchandiser, or…

A: The manufacturing business involves the production of goods. The merchandise business includes the…