Tuesday, June 11, 2024

Discussion Group

Date

Description

Purchases

Cost of goods sold

Ending Inventory

Nov 1

Beginning inventory

 

 

100 $40 = $40.00 4,000

4

Purchase

500 $42 =21,000

 

600 41.67

Perpetual inventory

 

 

Chapter 1

Notice negaticve amounts as clues

Notice beginning vs ending balanances

Memorize the stucture of financial statement

Chapter 2

Meeorize account classification

Build statements one section at a time one account at a time

Chapter 3

Asset increases debit except for accumlated deprecation

Equity increase by credit except expenses and dividends

Identify accoutns before you answer (A or L or E)

Chapter 4

Whn we are on the lasy day of the period pay attention to whether this is pre or post adjustment

The unadjsuted balance for nay period is the same as the adjusted balance for the previous period

Chapter 5

Pay attention to contra accounts and their behaviour

Chapter 6

Invenory analysis record sales in terms of cogs

Record cogs using chanignacerage cost/unit (perpetual)

Record cogs using one averag cost/unit (periodic)

Think in tmers of beginning, purhcased , sold, ending

Verify work using beginning +purchsed+ =sold .+ending

 

 

 

 

 


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