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

Q: At Decemeber 31,2020, the following information was available for Blossom Company: ending inventory…

A: Inventory turnover ratio :Inventory turnover ratio indicates the demand for the product &…

Q: Assume that purchases were recorded correctly and that no correcting entries were made at December…

A: Errors are mistakes or omissions which are made by an accountant, intentionally or unintentionally,…

Q: Smart Company prepared its annual financial statements dated December 31, 2020. The company applies…

A: As per LC&NRV inventory valuation rule, closing inventory is to be valued at lower of cost or…

Q: On December 31, 2020, Jen & Mink Clothing (J&M) performed the inventory count and determined the…

A: Inventory valuation refers to the process of assigning a monetary value to the inventory of a…

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…

Q: The draft accounts of Collister Co. for the year ended 31st Dec 2020 include  the following: Revenue…

A: Cost of goods sold = Beginning inventory + purchases - ending inventory Gross profit = Sales - COGS

Q: Some of E and S Electronics' merchandise is gathering dust. It is now December 31, 2024, and the…

A: According to accounting standard, inventory should be valued at lower of cost or market…

Q: The management of Swifty Inc. is reevaluating the appropriateness of using its present inventory…

A: Income Statement :— It is one of the financial statement that shows profitability, total revenue and…

Q: On December 31, 2021 Carla Vista Company changed its method of accounting for inventory from…

A: An increase in beginning inventory due to a change in the method of inventory decreases the profit.…

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…

Q: At the begining of 2020, Flynne Company decided to change from the LIFO to the FIFO inventory cost…

A: Comment- Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: The management of Knight Company has asked its accounting department to describe the effect upon the…

A: It is the stock held for sale to customers. The inventory comprises of raw materials, work in…

Q: During 2024, Lipe and Lipe Corporation discovered that its ending inventories reported on its…

A: Req 1B:Determine the effect of 2023 errors on retained earnings at January 1, 2024, before any…

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

A: It is a financial statement that shows the company's profit or loss over a period of time. It is…

Q: The following are the inventories for the years 2019, 2020, and 2021 for Parry Company:

A: The income statement prepared by the company's management can be used to identify the organization's…

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.

Q: Karen Company reported net incomes for a three-year period as follows: 2019, $191,800; 2020,…

A: When ending inventory is overstated , it will result in over statement of net profit , therefore to…

Q: In 2020, Frost Company, which began operations in 2018, decided to change from LIFO to FIFO because…

A: Inventory Analysis: Inventory analysis is one of the parts of operation research which bargains in…

Q: December 31 2024 2025 2026 2027 $ $ $ Year-End Costs 96,460 131,100 141,120 $ $ Base-Year Costs…

A: DVL stands for Dollar Value LIFO method. LIFO stands for Last in first out.

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

A: Retained earnings shows the income income of the company which the company has accumulated over a…

Q: Inventory San Corp. conducts an assessment of the inventory held at the end of 2022. The person in…

A: Calculation of impairment loss:

Q: In 2021, Wade Window and Glass changed its inventory method from FIFO to LIFO. Inventory at the end…

A: FIFO: In the First-in-First-Out method, items purchased initially are sold first. So, the value of…

Q: Carl Co. began operations in 2021. At the beginning of fiscal year 2023, Carl Co. decided to change…

A: The objective of the question is to determine the correct journal entry to record the change in…

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: When you undertook the preparation of the financial statements for Carla Vista Company at January…

A: Inventory means the detailed list or stock of items, goods, or materials held by a business or…

Q: Required: 1. Restate the statement of earnings to reflect the valuation of the ending Inventory on…

A: Smart Company Statement of Earnings (LC & NRV Basis) For the Year Ended Dec 31, 2020 Sales…

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: You are preparing the income statement of BB Company for the year ended December 31, 2020. You…

A: Explanation:   An statement of income shows how much money a company makes, how much it spends, and…

Q: The case below relates to IAS 10. Indicate whether they are adjusting and non-adjusting events and…

A: IAS 10 that is international accounting standard 10 relates to events that occurs after the…

Q: The following are the inventories for the years 2019, 2020, and 2021 for Parry Company: 1. Assume…

A: 1) The inventory will be sold at the cost of net realizable value whichever is less. The adjustment…

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

A: Retained earning means the amount left in business after paying all expenses and dividend to…

Q: Fog Gear Incorporated changed from LIFO to the FIFO inventory costin January 1, 2024. Inventory…

A: Introduction:- Journal entry is the first stage of accounting process. Journal entry used to record…

Q: The management of Swifty Inc. Is reevaluating the appropriateness of using its present Inventory…

A: As per the FIFO (First in first out) method the inventory which comes first will out first, hence in…

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

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

Q: In 2020, Gill's Company changed its inventory cost system from LIFO to FIFO. 1. This accounting…

A: FIFO is the inventory method which says that inventory purchased first in the business should be…

Q: Nutritional Foods reports merchandise inventory at the lower-of-cost-or-market. Prior to releasing…

A: INVENTORY VALUATIONInventory Valuation is a Method of Calculation of Value of Inventory at the End…

Q: Metlock Company began operations in 2019 and determined its ending inventory at cost and at…

A: ACCOUNTING STANDARDS - 2   Objective of this standard is to formulate the method of computation of…

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

A: For calculating closing stock we need to prepare trading account . Profit is charged on sales as…

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: BETA Company began operations in January 2021. Financial statements for the years ended December 31,…

A: Retained earnings refer to the amount of profit which is retained by the business entity after the…

Q: information is compiled. 1. Sarasota has failed to accrue sales commissions payable at the end of…

A: As per the Honor code of Bartleby we are bound to given the answer of first three sub part only,…