Vermont Resources, which uses the FIFO inventory costing method, has the following account balances at August 31, 2025, prior to releasing the financial statements for the year: Merchandise Inventory, ending $ Cost of Goods Sold Net Sales Revenue 14,800 67,000 118,000 Date Aug. 31 Requirement 1. Prepare any adjusting journal entry required from the given information. (Record debits first, then credits. Select the explanation on the last line of the journal entry. For situations that do not require an entry, make sure to select "No entry require the "Accounts" column and leave all other cells blank.) X Accounts and Explanation Debit Credit Vermont has determined that the current replacement cost (current market value) of the August 31, 2025, endir inventory is $12.500. Read the requirements. Requirements 1. Prepare any adjusting journal entry required from the information given. 2. What value would Vermont report on the balance sheet at August 31, 2025, for merchandise inventory? Print Done

Q: Hamilton Company uses a periodic inventory system. At the end of the annual accounting period,…

A: Inventory valuation method includes: FIFO method LIFO method Weighted average cost method FIFO…

Q: Record the adjustment into T accounts and then journalize the adjusting entry.

A: Whenever there is decrease /increase of the physical inventory in comparison to the book value then…

Q: Givoly Incorporated uses a periodic inventory system. At the end of the annual accounting period,…

A: The income statement is one of the financial statements that is a measure of profitability. This…

Q: Monson uses a perpetual inventory system. Determine the costs assigned to the December 31 ending…

A: FIRST IN FIRST OUT: In FIFO, Goods or Materials that are purchased first are used in sale or in…

Q: Nittany Company uses a periodic inventory system. At the end of the annual accounting period,…

A: The inventory can be valued using various methods as FIFO, LIFO and average method. The ending…

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: In 2024, due to a change in marketing forecasts, Barney Corporation reduced the projected life of…

A: The retained earnings are the accumulated profits of the entity. It represents the profits which are…

Q: Classique Designms sells a variety of merchandise, including school shoes for girls. The business…

A: FIFO method of maintaining the inventory means the Goods with are purchase first will be sold first…

Q: Nittany Company uses a periodic inventory system. At the end of the annual accounting period,…

A: The inventory can be valued using various methods such as FIFO, LIFO and the average method. Ending…

Q: Eagle Resources, which uses the FIFO inventory costing method, has the following account balances at…

A: FIFO is inventory valuation method where the inventory came first in store will be sold first and…

Q: Required: Determine the Cost of Sales and the ending inventory balance under a perpetual inventory…

A: The FIFO states that most earlier purchases are sold first. It means the first purchases are sold…

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: Date Purchases Sales Balance Quantity Cost Quantity Cost Quantity Cost $72 Nov 1 65 Nov 3 120 $60 65…

A: Cost of goods sold refers to the direct expenses involved in the production of the goods sold by a…

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

A: "LIFO" stands for last-in, first-out, meaning that the recently purchased inventory items are…

Q: Prepare journal entries would HEC record on November 30 and December 1? (Assume HEC uses a perpetual…

A: Revenue is the total sum of money obtained through conducting commercial activities like sales. A…

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

A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold on the…

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: Marigold Inc. uses LIFO inventory costing. At January 1, 2025, inventory was $211,649 at both cost…

A: Journal Entry :— It is an act of recording transaction in books of account when transaction…

Q: You have the following information for Carla Vista Inc. for the month ended October 31, 2025. Carla…

A: Periodic inventory system:There are different types of inventory systems one of which is the period…

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

A: The retail and cost ratio is taken into consideration while following the conventional retail…

Q: Hamilton Company uses a periodic inventory system. At the end of the annual accounting period,…

A: FIFO (First-In, First-Out) method: In FIFO, you sell the oldest inventory items before the newer…

Q: Vermont Resources, which uses the FIFO inventory costing method, has the following account balances…

A: Businesses gain from adjustment entries by supporting auditing and assurance procedures, assuring…

Q: Nittany Company uses a periodic inventory system. At the end of the annual accounting period,…

A: Inventory valuation is based on the flow-off issue used by the organization. It can be the first in…

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: Nittany Company uses a periodic inventory system. At the end of the annual accounting period,…

A: The inventory can be valued using various methods as FIFO, LIFO and average method. Using FIFO, the…

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: Hamilton Company uses a periodic inventory system. At the end of the annual accounting period,…

A: Inventory is one of the important current asset of the business. There are several methods used for…

Q: Vermont Resources, which uses the FIFO inventory costing method, has the following account balances…

A: Introduction: When a corporation makes sales using the FIFO technique, the oldest inventory or stock…

Q: Accounting Abacus Ltd undertook the following transactions during May 2022. May. 1…

A: Perpetual Inventory System – Under the Perpetual inventory system on every sales transaction cost of…

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

A: Weighted average cost per unit= Total purchase and begcost/ Total purchased and beg unit

Q: Coronado uses LIFO inventory costing. At January 1, 2020, inventory was $427,200 at both cost and…

A:

Q: Hamilton Company uses a periodic inventory system. At the end of the annual accounting period,…

A: Inventory valuation - Inventory can be valued using three methods - a. FIFO Method - Under FIFO…

Q: Rapid Resources, which uses the FIFO inventory costing method, has the following account balances at…

A: MARCHENDISE INVENTORY    Merchandise inventory is the cost of finished goods (COGS) that a…

Q: You are provided with the following information for Guillaume Inc. for the month ended June 30,…

A: Under FIFO METHOD:: BBeginning inventory::40*P40  =P1600 June 4:Purchases::135*P44 =P5940 June 18…

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.