Better Homes is a mid-sized retailer in Canada. The kitchen appliances department of Better Homes purchases small appliances such as coffee makers and toasters from many well-known manufacturers. Better Homes uses a sophisticated perpetual inventory system.
Required
You are the manager of a Better Homes store. Write a memo to a new employee in the kitchen appliances department that explains how the company accounts for the purchase and sale of merchandise inventory.
Use the following heading for your memo:
Date: ___________________________
To: The Owner
From: Student Name
Subject: Better Homes accounting system for inventories