» Q-8-3b. Adjust Perpetual Inventory Records Craig's Design and Landscaping Services accountant needs to record an inventory adjustment for the purpose of adjusting the inventory quantity of an item to a physical count at year-end. The physical count for the item was less than the quantity on hand in QBO. Open the Inventory Quantity Adjustment window and answer the following question. Which account is the default account used to record the effects of the inventory quantity adjustment? Please add checkmark next to the correct answer(s). 1 Cost of Goods Sold 2 Inventory 3 Inventory Shrinkage 4 Miscellaneous Expense

» Q-8-3b. Adjust Perpetual Inventory Records Craig's Design and Landscaping Services accountant needs to record an inventory adjustment for the purpose of adjusting the inventory quantity of an item to a physical count at year-end. The physical count for the item was less than the quantity on hand in QBO. Open the Inventory Quantity Adjustment window and answer the following question. Which account is the default account used to record the effects of the inventory quantity adjustment? Please add checkmark next to the correct answer(s). 1 Cost of Goods Sold 2 Inventory 3 Inventory Shrinkage 4 Miscellaneous Expense

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Description: Dd.19. » Q-8-3b. Adjust Perpetual Inventory RecordsCraig's Design and Landscaping Services accountant needs to record an inventory adjustment for the purpose ofadjusting the inventory quantity of an item to a physical count at year-end. The physical

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 11E: Alternative Inventory Methods Nevens Company uses a periodic inventory system. During November, the...

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Which of the following financial statements would be impacted by a current-year ending inventory error, when using a periodic inventory updating system? A. balance sheet B. income statement C. neither statement D. both statements
Prepare Journal entries to record the following transactions, assuming perpetual inventory updating, and last-in, first-out (LIFO) cost allocation. Assume no beginning inventory.
Prepare journal entries to record the following transactions, assuming perpetual inventory updating and first-in, first-out (FIFO) cost allocation. Assume no beginning inventory.
Which type or types of inventory timing system (periodic or perpetual) requires the user to record two journal entries every time a sale is made. A. periodic B. perpetual C. both periodic and perpetual D. neither periodic nor perpetual
Perpetual and Periodic Inventory Systems Below is a list of inventory systems options. a. Perpetual inventory system b. Periodic inventory system c. Both perpetual and periodic inventory systems Required: Match each option with one of the following: 1. Only revenue is recorded as sales are made during the period; the cost of goods sold is recorded at the end of the period. 2. Cost of goods sold is determined as each sale is made. 3. Inventory purchases are recorded in an inventory account. 4. Inventory purchases are recorded in a purchases account. 5. Cost of goods sold is determined only at the end of the period by subtracting the cost of ending inventory from the cost of goods available for sale. 6. Both revenue and cost of goods sold are recorded during the period as sales are made. 7. The inventory is verified by a physical count.
Beginning inventory, purchases, and sales for Item Gidget are as follows: Assuming a perpetual inventory system and using the last-in, first-out (LIFO) method, determine (a) the cost of merchandise sold on September 27 and (b) the inventory on September 30.
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Under the periodic inventory system, the ending inventory is entered by debiting Merchandise Inventory and crediting Income Summary.
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Errors A company that uses the periodic inventory system makes the following errors: 1. It omits a purchase on credit from the purchases account and the ending inventory. 2. It omits a purchase on credit from the purchases account, but the ending inventory is correct. 3. It overstates the ending inventory, but purchases arc correct. Required: Indicate the effect of the preceding errors on the income statement and the balance sheet of the current and succeeding years.
Prepare journal entries to record the following transactions, assuming periodic inventory updating and first-in, first-out (FIFO) cost allocation.
The following data were extracted from the accounting records of Harkins Company for the year ended April 30, 2019: a. Prepare the cost of merchandise sold section of the income statement for the year ended April 30, 2019, using the periodic inventory system. b. Determine the gross profit to be reported on the income statement for the year ended April 30, 2019. c. Would gross profit be different if the perpetual inventory system was used instead of the periodic inventory system?