ACCY 202 1st Edition Discussion Lecture 8Outline of Last LectureI. Sellers Perspective1. Seller EventsA. Record SaleB. Record FreightC. Record ReturnedD. Record CashII. Sales ReturnsIII. Sales AllowancesIV. Slide Page 83V. Recording Sales at Specific Prices1. Calculate2. Specification MethodA. Bucket 1B. Bucket 2VI. FIFO1. Uses Items That…VII. LIFO1. Uses Items That….2. Why Use LIFO?VIII. Perpetual System Method1. CalculationsOutline of Current LectureI. LIFO Solution1. Page 962. LIFO SummaryII. Weighted Average Cost1. Calculation2. Merchandise InventoryIII. Specific IdentificationIV. Physical Count1. DefinitionThese notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.Current LectureI. LIFO Solution1. Page 96 is the solution to page 90 where perpetual LIFO is used2. LIFO Summary is what will be used to document the end results of LIFO. This will be what companies look atII. Weighted Average Cost1. Calculation- The amount that is the sale total after purchases have been made prior, becomesthe starting point for the new layer entitled, “Leaving ‘x’ units @ ‘$Y’- Average Cost = GAFS/units2. Merchandise Inventory- Ending Inventory ends up in the Merchandise Inventory T-account on the lower debit sideIII. Specific Identification- A jewelry store would be an example of specific identification because each pieceof inventory has a specific price and there is a set, but not uniform, way of classifying each piece of jewelry by valueIV. Physical Count1. Definition: We cannot count something that’s not there so physical count is an employee counting in person each and every piece of
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