Which inventory method (perpetual or periodic) provides better control over a firms inventory?

Question:

Which inventory method (perpetual or periodic) provides better control over a firm’s inventory?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Accounting concepts and applications

ISBN: 978-0538745482

11th Edition

Authors: Albrecht Stice, Stice Swain

See More Books

Question Posted: Dec 30, 2011 04:40 AM

See More Questions

Perpetual and Periodic Inventory Systems From the following list, identify whether the merchandisers described would most likely use a perpetual or a periodic inventory system. ____________ Appliance...
The following transactions are from Sharper Vision Corporation. Purchased inventory on December 10, 2020, with a list price of $9,750, a trade discount of 20%, and with terms 2/10, n/30. Returned...
Which inventory cost formula-FIFO or average- provides the better income statement valuation? The better balance sheet valuation? Explain
prepare a process diagram. AIS outdoor is a retail business selling outdoor entertainment goods such as tents, sleeping bags, camping furniture, etc. In addition to having stores across Australia,...
International Steel Company has budgeted manufacturing overhead costs of $1,930,000. It has allocated over- head on a plant-wide basis to its two products (soft steel and hard steel) using machine...
Positive Accounting Theory utilises the concept of political costs. Briefly define political costs. What actions might a firms management undertake in an attempt to minimise the political costs that...
How should we test components?
Birk Camera Shop Inc. uses the lower-of-cost-or-market basis for its inventory. The following data are available at December 31. Instructions What amount should be reported on Birk Camera Shops...
Frank is usually the first one to arrive at Costco's main warehouse. He primarily builds the work schedules for all the employees in the stock room and manages the performance of the entry-level...
A retail website sells a variety of products including clothes, electronics, furniture, sporting goods, books, video games, CDs and DVDs, among other items. An average customer order is $47. Weekly...
When is the cost of inventory transferred from an asset to an expense?
Is the accounting for purchase discounts and purchase returns the same with the perpetual and the periodic inventory methods? If not, what are the differences?
Which of the following control structures is used in every program? a. Repetition b. Selection c. Sequence d. Switching
Three phase balanced star connected load when supplied from three phase three wire 400 V, 50 Hz source takes a line current of X Amperes at Yo w.r.t its line voltage. Phase sequence is RYB. Question...
My leadership and communication skills were put to the test when I was the captain of a service team at a four-star restaurant last summer. This experience has prepared me to lead a team of interns...
Whether healthcare should be free for all citizens, and introduce a fallacy argument and provide at least one supportive point, one legitimate objection, your assessment of that objection, and a...
Salmone Company reported the following purchases and sales for its only product. Salmone uses a perpetual inventory system. Determine the cost assigned to cost of goods sold using LIFO. Date...
Salmone Company reported the following purchases and sales of its only product. Salmone uses a periodic inventory system. Determine the cost assigned to ending inventory using LIFO. Date Activities...
Mia Salto wishes to determine how long it will take to repay a $14,000 loan given that the lender requires her to make annual end-ofyear installment payments of $2,450. a. If the interest rate on the...
Calculate the number of neutrons of 239Pu.
One form of silicon has density of 2.33 g cm 3 and crystallizes in a cubic lattice with a unit cell edge of 543 pm. (a) What is the mass of each unit cell? (b) How many silicon atoms does one unit...
Describe differences between defined benefit and defined contribution pension plans. How does the accounting differ across these two types of plans?
From a purely economic point of view define what constitutes the following: (a) Pension obligation, (b) Pension plan assets, (c) Net economic position of the pension plan, (d) Economic pension cost.
What are the primary nonrecurring components of pension cost? Describe how current pension accounting defers and amortizes these nonrecurring components.
Every culture is different. According to Hofstede, much of this variability can be accounted for by six cross-cultural values. Briefly describe them and indicate how each of these values may impact...
In this exercise, identify the types of questions you'll need to be answered in order to help you plan a successful venture. Here's the situation: You have an idea for a new business. It's a high-end...
We are introducing a survey to test a small group in order to see if online expansion would be beneficial for MESA productions (a corrosion control company). Currently it is hard to find their...

Which inventory method (perpetual or periodic) provides better control over a firms inventory?

Question:

Step by Step Answer:

With good internal control procedures a perpetual inventory record provides better control ...View the full answer

Accounting concepts and applications

Students also viewed these Managerial Accounting questions