Concept explainers
Inventory:
Inventory refers to the stock or goods which will be sold in the near future and thus is an asset for the company. It comprises of the raw materials which are yet to be processed, the stock which is still going through the process of production and it also includes completed products that are ready for sale. Thus inventory is the biggest and the important source of income and profit for the business.
Perpetual Inventory System:
In perpetual inventory system, there is a continuous recording of transactions as and when they take place that is purchase and sale transactions are recorded whenever they occur.
First in First out:
In case of First in, first out method, also known as FIFO method, the inventory which was bought first will also be the first one to be taken out.
Cost of ending inventory under the perpetual inventory system on the basis of the FIFO method.

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Chapter 5 Solutions
FIN + MANAGERIAL ACCT 9E CH 1-12
- The completed Payroll Register for the February and March biweekly pay periods is provided, assuming benefits went into effect as anticipated. Required: Using the payroll registers, complete the General Journal entries as follows: February 10 Journalize the employee pay. February 10 Journalize the employer payroll tax for the February 10 pay period. Use 5.4 percent SUTA and 0.6 percent FUTA. No employees will exceed the FUTA or SUTA wage base. February 14 Issue the employee pay. February 24 Journalize the employee pay. February 24 Journalize the employer payroll tax for the February 24 pay period. Use 5.4 percent SUTA and 0.6 percent FUTA. No employee will exceed the FUTA or SUTA wage base. February 28 Issue the employee pay. February 28 Issue payment for the payroll liabilities. March 10 Journalize the employee pay. March 10 Journalize the employer payroll tax for the March 10 pay period. Use 5.4 percent SUTA and 0.6 percent FUTA. No employees will exceed the FUTA or SUTA wage base.…arrow_forwardPlease given step by step explanation general accounting questionarrow_forwardDon't use ai solution please given answer general accountingarrow_forward
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