CENTURY 21 ACCOUNTING © Thomson/South-Western LESSON 19-2 Determining the Cost of Merchandise Inventory.

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LESSON 19-2 Determining the Cost of Merchandise Inventory

LESSON 19-2 Determining the Cost of Merchandise Inventory

LESSON 19-1 Determining the Quantity of Merchandise Inventory

© 2014 Cengage Learning. All Rights Reserved.

© 2015 Cengage Learning. All Rights Reserved.

FIRST-IN, FIRST-OUT INVENTORY COSTING METHOD

LESSON 6-3 Estimating the Inventory

FLOW OF INVENTORY COSTS

LESSON 6-2 Inventory Costing

Accounting for Inventory

Determining the Quantity of Merchandise Inventory

Accounting for Inventory

FIRST-IN, FIRST-OUT INVENTORY COSTING METHOD

CHAPTER NINETEEN APPENDIX

GROSS PROFIT METHOD OF ESTIMATING INVENTORY

CHAPTER NINETEEN APPENDIX

Presentation transcript:

CENTURY 21 ACCOUNTING © Thomson/South-Western LESSON 19-2 Determining the Cost of Merchandise Inventory

CENTURY 21 ACCOUNTING © Thomson/South-Western 2 LESSON 19-2 FIRST-IN, FIRST-OUT INVENTORY COSTING METHOD page Total units on hand 2.Units from the most recent purchase 3.Units needed to equal the total units on hand 4.Unit price times fifo units 5.Total fifo cost

CENTURY 21 ACCOUNTING © Thomson/South-Western 3 LESSON Units needed to equal total units on hand LAST-IN, FIRST-OUT INVENTORY COSTING METHOD page Total units on hand 3.Units from the earliest purchase 2.Beginning inventory units5.Unit price times lifo units 6.Total lifo cost

CENTURY 21 ACCOUNTING © Thomson/South-Western 4 LESSON Cost of ending inventory WEIGHTED-AVERAGE INVENTORY COSTING METHOD page Weighted- average price per unit 1.Total cost of inventory available

CENTURY 21 ACCOUNTING © Thomson/South-Western 5 LESSON 19-2 CALCULATING THE COST OF MERCHANDISE SOLD page 572 Cost of Merchandise Sold = Fifo Cost of Ending Inventory – Cost of Merchandise Available for Sale $634.00=$386.00–$1,020.00

CENTURY 21 ACCOUNTING © Thomson/South-Western 6 LESSON 19-2 COMPARISON OF INVENTORY METHODS page 572

CENTURY 21 ACCOUNTING © Thomson/South-Western 7 LESSON 19-2 TERMS REVIEW first-in, first-out inventory costing method last-in, first-out inventory costing method weighted-average inventory costing method page 573