Accounting Fundamentals Inventory

revenue (income statement) account which represents the sold inventory cost during a period

• Inventory

• Cost of Goods Sold

• FIFO

• LIFO

first items bought are to be the first items sold

• Inventory

• Cost of Goods Sold

• FIFO

• LIFO

company's merchandise, materials and products which have not been sold, representing liquid assets to the company

• Inventory

• Cost of Goods Sold

• FIFO

• LIFO

last items purchased are the first to be sold

• Inventory

• Cost of Goods Sold

• FIFO

• LIFO

short-term asset, because it can be converted into cash within a year; for example, raw materials, work-in-process, finished products

• Manufacturing Inventory

• Merchandise Inventory

• Periodic Inventory System

• Perpetual Inventory System

goods for resale which are classified as short-term assets because they can be converted to cash within a year

• Manufacturing Inventory

• Merchandise Inventory

• Periodic Inventory System

• Perpetual Inventory System

method used to update inventory balances periodically instead of constantly

• Manufacturing Inventory

• Merchandise Inventory

• Periodic Inventory System

• Perpetual Inventory System

method used to continuously track inventory amounts

• Manufacturing Inventory

• Merchandise Inventory

• Periodic Inventory System

• Perpetual Inventory System

advanced electronic device which performs electronic functions to sell goods and services

• Point of Sale (POS) Terminal

• stock Record

• Gross Profit Method

• weighted average amount

subsidiary ledger to track inventory on hand, separated into specific types

• Point of Sale (POS) Terminal

• stock Record

• Gross Profit Method

• weighted average amount