Melrose St. Book Shop's unadjusted Merchandise Inventory at June 30, 2024 was $6,600. The cost associated with the physical count of inventory on hand on June 30, 2024, was $5,950. In addition, Melrose St. Book Shop estimated approximately $1,300 of merchandise sold will be returned with a cost of $900. Requirements 1. Journalize the adjustment for inventory shrinkage. 2. Journalize the adjustment for estimated sales returns. Requirement 1. Journalize the adjustment for inventory shrinkage. (Record debits first, then credits. Exclude explanations from journal entries.) Date Jun. 30 Accounts Debit Credit

Q: Assume the following data for Burnette Merchandising for 2023: View the data. On December 31, a…

A: FIFO Method :— It is one of the method of inventory valuation in which it is assumed that old…

Q: CPA Company provided the following inventory data for the month of April 2021:     Units Unit…

A: FIFO Method: First in, first-out (FIFO) is an accounting approach in which assets that are bought or…

Q: Maridel Company revealed inventory on December 31, 2019 at P3,250,000 based on a physical count…

A: Following is the answer to the given question

Q: Required: 1. Prepare an estimate of the company's year-end Inventory by the retail method. (Round…

A: Estimated Inventory can be defined as the determination of the value of inventory based upon the…

Q: Crane Inc. uses the retail inventory method to estimate ending inventory for its monthly financial…

A: Retail price is the price at which the product is sold to the customer. It is the sum of cost and…

Q: Riderco Pool Supplies' merchandise inventory data for the year ended December 31, 2025, follow:…

A: Overstated ending inventory decreases the value of the cost of goods sold and ultimately the gross…

Q: You have the following information for Waterway Industries for the month ended October 31, 2022.…

A: To ascertain the weighted average cost per unit the Cost of goods available for sale are divided by…

Q: The beginning inventory of Norcal Wholesalers was $113,000, and the ending inventory is $95,319.What…

A: Merchandise Inventory: Merchandise is the stock of goods bought by a wholesaler, or a retailer, or a…

Q: 不 Baldwin Company had the following balances and transactions during 2019: Beginning Merchandise…

A: FIFO method follows First in First out Basis, means beginning inventory and units purchased first…

Q: Cost Retail Beginning inventory $ 47,000   $ 62,000   Net purchases   10,480     32,800   Net…

A: Under retail inventory method to estimate average cost  of ending inventory and cost of goods sold…

Q: Ripken Company uses a perpetual inventory system and reported the following transactions involving…

A: Note: Since we are entitled to answer 1 question up to 3 sub-parts, we’ll answer the first question…

Q: What amount should be reported as inventory on December 31, 2021? Fundador Company reported that…

A:

Q: Evergreen St. Book Shop's unadjusted Merchandise Inventory at June 30, 2024 was $5,400. The cost…

A: Inventory shrinkage: It implies to a loss of company's inventory as a result of number of factors…

Q: The trial balance columns of the worksheet using a perpetual inventory system for Pharoah Company at…

A: The trial balance is the statement showing list of balances of all ledger accounts of an entity as…

Q: You have the following information for Bonita Industries for the month ended October 31, 2022.…

A: The weighted average method, the last-in-first-out method, and the first-in-first-out method are the…

Q: Requirement 1. Assume that the ending merchandise inventory was accidentally overstated by $2,400.…

A: Overstated ending inventory decreases the value of the cost of goods sold and ultimately the gross…

Q: At the beginning of the year, Snaplt had $11,800 of inventory. During the year, Snaplt purchased…

A: Inventory refers to the goods and materials that a company holds for sale or production. These can…

Q: Adams Corporation uses a periodic inventory system and the retail inventory method to estimate…

A: Inventory valuationInventory valuation method is an accounting practice that is followed by each and…

Q: The following information is available for Beach Company for 2025 who uses a periodic inventory…

A: Cost of goods sold budget shows the expenses incurred for producing a product. Cost of goods sold is…

Q: The following information pertains merchandise inventory of Bloom Company at the end of year.  Apply…

A: As per the accounting standards, the inventory is valued at, lower of cost or market price. In the…

Q: San Lorenzo General Store uses a periodic Inventory system and the retail Inventory method to…

A: Final answer  CostRetailCost -to- retail ratio Beginning inventory$40,000$55,000  Net purchases$…

Q: San Lorenzo General Store uses a periodic inventory system and the retail inventory method to…

A: Periodic Inventory System: Periodic inventory system is an arrangement of stock wherein refreshes…

Q: You have the following information for Coronado Inc. for the month ended June 30, 2022. Coronado…

A: Sales Transactions   Date   Units  Price  Sales Value (units x price) 10-Jun Sales 110 53 5830…

Q: The accounting records of Sheridan Company show the following data. Beginning inventory 2,710…

A: Weighted Average Method is one of the methods of inventory valuation in which it is assumed that…

Q: 1. The Pattasar Electric Appliances company uses perpetual inventory system and first-in, first-out…

A: Calculation table

Q: the following information for Coronado Industries for the month ended October 31, 2022. Coronado…

A: Periodic inventory system: It is inventory system which involves the physical counts of goods at a…

Q: Empty Company reported inventory on December 31, 2020 at P2,500,000 based on physical count priced…

A: Inventory on December 31, 2020= P2,500,000 Merchandise shipped on December 30, 2020= P100,000…

Q: The records of Earthly Goods provided the following information for the year ended December 31,…

A: Closing inventory represents the inventory that remains at the end of the accounting period.

Q: Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending…

A: Cost to retail methods  is  simple method . This help them to find relationship between cost of…

Q: Crane Company uses a periodic inventory system and the average cost method. At December 31, 2025,…

A: Lower-of-cost-or-net realizable value is the concept that tells the inventory should be recorded at…

Q: The records of Earthly Goods provided the following Information for the year ended December 31,…

A: Year end inventory means cost of ending inventory which is left at the end of the period.

Q: ou have the following information for Tamarisk, Inc. for the month ended October 31, 2022. Tamarisk…

A: Lets understand the basics. In FIFO basis entity assumes that, goods purchased first are sold first…

Q: UMET's Stores had the following inventory transactions in 2020:                       Transaction…

A: Inventory: It refers to the items held by an organization which were in various forms like raw…

Q: The following data are available for Sellco for the fiscal year ended on January 31, 2023: Sales…

A: LIFO means last in first out where as FIFO means first in first out.Inventory and cost of goods sold…

Q: Coronado Inc. uses the retail inventory method to estimate ending inventory for its monthly…

A: Retail price is the price at which the product is sold to the customer. It is the sum of cost and…

Q: On June 30, Cullumber Fabrics has the following data pertaining to the retail inventory method.…

A: Ending inventory = Cost of goods available for sales - Cost of sales

Q: Lithowanderer Company used the retail method to estimate inventory. Data relating to the inventory…

A: Retail inventory method:  Under this method, the closing stock of inventory is measured using cost…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.