Inventory & Merchandising Transactions-Excel Practice Proble

Name: Inventory & Merchandising Transactions-Excel Practice Proble
Rating: 4.1 (5 reviews)

Merchandising transaction - bookkeeping including purchase and sale of inventory, discounts, and returns. FIFO, LIFO,

Created byRobert (Bob) Steele

Last updated 7/2018

English

What you'll learn

Inventory Costing
First In First Out (FIFO) cost flow method
Last In First Out (LIFO) cost flow method
Weighted average cost flow method
Periodic inventory method
Perpetual inventory method
Merchandising transactions
Record purchase of merchandise
Record the sale of merchandise
Perpetual and periodic inventory systems
Sales discount and purchase discount
Inventory shrinkage and sales returns
Financial statements for a merchandising company

Course content

1 section • 19 lectures • 6h 23m total length

Introduction4:36
Explore inventory and merchandising transactions through Excel practice problems, applying cost flow methods like FIFO, LIFO, weighted average, and specific identification to purchases, sales, and reporting.
10 Worksheet - Perpetual Inventory System35:37
20 Worksheet Periodic System31:34
30 Worksheet Purchase Discount & Sales Discount23:35
Record sales and purchase discounts in an Excel worksheet, using a general journal view to compute 2/10 discounts and track cash, receivables, payables, inventory, and net income.
40 Inventory Shrinkage11:58
Record inventory shrinkage with a journal entry and adjust the ending inventory to reflect a physical count. Compute cost of goods sold and reconcile perpetual versus periodic systems.
50 Worksheet - Sales Return12:51
60 500.10 Merchandising Ex Part 1-Accounting%2C Financial (2)15:03
Record and post merchandising transactions with journal entries, track inventory and accounts receivable/payable, and balance the accounting equation across the balance sheet and subsidiary ledgers.
70 500.20 Merchandising Ex Part 2-Accounting%2C Financial (1)15:11
80 500.30 Merchandising Ex Part 3-Accounting%2C Financial (1)15:08
90 500.40 Merchandising Ex Part 4-Accounting%2C Financial (1)14:10
Model merchandising transactions in Excel by posting purchases, returns, and discounts. Track cash, inventory, accounts payable and receivable, and assess effects on net income and trial balance.
10 Worksheet FIFO Periodic System47:53
Explore a FIFO periodic system for inventory, posting purchases and sales to a worksheet, calculating ending inventory and cost of goods sold with journal entries and the trial balance.
20 Worksheet Last In First Out (LIFO) Periodic System44:44
30 Worksheet Weighted Average Periodic System49:22
Explore how to compute a weighted average cost in a periodic inventory system, using a worksheet to record beginning balances, purchases, and end-of-period cost of goods sold and ending inventory.
40 600.10 Inventory Cost Problem First In First Out part 1 Ex.%2C how to calcula11:01
Apply fifo to compute inventory cost from beginning inventory and purchases, determine cost of goods sold for 420 units, and identify ending inventory of 80 units at 55.
50 600.20 Inventory Cost Problem First In First Out part 2 Ex.%2C how to calcula12:05
60 600.50 Cost Problem Last In First Out LIFO part 1 Ex.%2C how to calculate-Acc10:02
70 600.60 Cost Problem Last In First Out LIFO part 2 Ex.%2C how to calculate-Acc10:09
80 600.30 Inventory Cost Problem Average method Part 1 Ex.%2C how to calculate-A10:01
Apply the weighted average method to calculate inventory cost and cost of goods sold, and record the purchases, sales, and journal entries in the worksheet with the accounting equation.
90 600.40 Inventory Cost Problem Average method Part 2 Ex.%2C how to calculate8:47

Requirements

We should have a basic understanding of financial accounting and debits and credits.

Description

This course will only provide the Excel practice problems component of our resources, so that learners can review practice problems without being distracted by other resources.

Bookkeeping for inventory and merchandising transactions.

We cover merchandising transactions and cost flow assumptions.

Merchandising transaction, those transaction that deal with inventory, including the purchase of inventory and the sale of inventory. We will discuss related topics including sales discounts, purchase discounts, sales return and allowances, shrinkage and the cost of goods sold calculation. We will also compare and contrast a perpetual inventory system and periodic inventory system, listing and describing the pros and cons of each, explaining when each may be most appropriate in practice.

Inventory costs and cost flows, including what is included in the cost of inventory and how to account for inventory freight costs, inventory insurance costs, and discount. We also discuss inventory flow assumptions including specific identification, first in first out (FIFO), last in first out (LIFO), and weighted average methods. FIFO, LIFO and weighted average methods will be discussed using both a periodic inventory system and a perpetual inventory system.

Who will we be learning from?

You will be learning from somebody who has technical experience in accounting concepts and in accounting software like QuickBooks, as well as experience teaching and putting together curriculum.

You will be learning from somebody who is a:

• CPA – Certified Public Accountant

• CGMA – Chartered Global Management Accountant

• Master of Science in Taxation

• CPS – Certifies Post-Secondary Instructor

• Curriculum Development Export

As a practicing CPA the instructor has worked with many technical accounting issues and helped work through them and discuss them with clients of all levels.

As a CPS and professor, the instructor has taught many accounting classes and worked with many students in the fields of accounting, business, and business applications.

The instructor also has a lot of experience designing courses and learning how students learn best and how to help students achieve their objectives. Experience designing technical courses has also benefit in being able to design a course in a logical fashion and deal with problems related to technical topics and the use of software like QuickBooks Pro.

Summary of what will be covered:

Merchandising Transaction
Purchase of merchandise or inventory
Sale of merchandise or inventory
Perpetual and Periodic Inventory System
We will compare and contrast the perpetual and periodic inventory systems.
Sales Discount & Purchase Discount
It is easy to get the sales discount and purchase discount confused and mixed up. We will discuss both transactions and how to record them.
Inventory Shrinkage & Sales Returns.
Inventory Shrinkage has do do will loss of inventory, the problem being how to know it is lost and how to record the loss. Sales return are when inventory is returned after a sale. We will record transactions related to sales returns.
Financial Statements - Merchandising Company
Financial statements, especially the income statement, are typically more complex for merchandising companies then service companies.
Comprehensive Problems
We will have to comprehensive problems, on focused on financial transactions, more of a mid sized problem. The second comprehensive problem will cover the full accounting cycle for a merchandising company, the recording of financial transaction, adjusting entries, financial statements, and closing process.
Inventory Tracking methods
- Specific identification method
- First in first out (FIFO) method
- Last in first out (LIFO) method
- Weighted average method
Inventory costs
- Fright
- Insurance
- Purchase discounts
Periodic system verses a perpetual system.
- We discuss FIFO, LIFO, and weighted average under each system.

Who this course is for:

Accounting students
Business owner
Anyone who whats to learn accounting