You have the following information for Concard Inc. Concord Inc uses the periodic mathod ofaccounting for its inventary transactions. March Beginning imentory 2,200 liters at a cost of 80c par liter. March 3. Purchased 2,500 liters at a cost of 84e per liter. March Sold 2,300 liters for $1.05 per liter. March 10 Purchased 4,000 liters at a cost of 91e par liter. March 20 Purchased 2,300 liters ata cost of 99c per liter. March 30 Sold 5,000 liters for $1.25 per liter. (a1) Calculata the value of endinginventory that would be rsported on the balance sheet, under sach of the follawing cost flow assumptions. (Round answers to 2 decimal places, eg. 125.50J (1) Specificidantification mathod assuming O The March 5 sale consisted of 1,000 liters from the March 1 baginning inventory and 1,300 liters from the March 3 purchase; and C The March 30 sale consisted of the following number of units sold from beginning inventory and sach purchase: 450 liters from March 1: 550 liters from March 3: 2,900 litars from March 10: 1.100 litars from March 20. (2) FIFO (3) LIFO Ending imventory Specific idantification FIFO LIFO
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 5 images
