Accounting for Inventory - Specific Identification Method - Example

The video tutorial explains the specific identification method for inventory costs using Delta Company as an example. It covers the calculation of cost of goods sold, gross profit, and ending inventory. The tutorial also demonstrates how to create journal entries for inventory purchases and sales, emphasizing the importance of knowing the origin and cost of each inventory batch.

How many units were purchased on October 10th and at what price?

Evaluate responses using AI:

OFF

What is the formula for calculating gross profit?

Evaluate responses using AI:

OFF

What is the ending inventory balance for Delta Company?

Evaluate responses using AI:

OFF