FIFO-LIFO and weighted average methods

Assignment Help Financial Management

Reference no: EM13976702

Net income results, reported in the financial statement presentation, can be affected by the inventory reporting methods used. FIFO, LIFO, and weighted average methods each have their own implications during periods of inflation and deflation. Assume the role of a manager, employee, or an investor, and in 1–2 pages analyze the GAAP and ethical implications of each reporting method in a hypothetical company. Then, given your role, select which reporting method you would use, and explain why. Consider tax liabilities and profit levels in your response, as well as ethical considerations you may have for your valuation method selection.

Reference no: EM13976702

Questions Cloud

Complete the pension work sheet : Using the above information for Marlin Corporation, complete the pension work sheet for 2015.

How much work does it take to bring them together : Two point charges Q1 = 3.9 μC and Q2 = 7.7 μC are initially very far apart. They are then brought together, with a final separation of 2.4 m. How much work does it take to bring them together?

Write function displayscorethat write score underneath : Write a function displayScorethat writes a score underneath the target. Give it suitable parameters. You can use turtle.write() to display information on the turtle canvas.

Issued stock dividends during the current period : For this discussion, assume the role of an investor. How would you know whether the company you are considering to invest in has repurchased any of its own stock and/or issued stock dividends during the current period? Why is this important, and woul..

FIFO-LIFO and weighted average methods : Net income results, reported in the financial statement presentation, can be affected by the inventory reporting methods used. FIFO, LIFO, and weighted average methods each have their own implications during periods of inflation and deflation. Consid..

Calculate the rate at which firm can grow without changing : Calculate the rate at which a firm can grow without changing its leverage if its payout ratio is 75%, equity outstanding at the beginning of the year is $970,000, and its net income for the year is $157,000. What is the WACC for a firm with 45% debt ..

Description of quantitative methods : Description of quantitative method(s). Justify why you utilized this statistical method for your study. Analysis of the data (Discuss your results and include a separate sheet that shows your quantitative results in tabular or graphical form)

Find the magnitude of the net electric field charges produce : Find the magnitude of the net electric field these charges produce at point A. In N/C. What would be the magnitude of the electric force this combination of charges would produce on a proton at A? In N

Acquire a small ice cream cart : It will cost $3,500 to acquire a small ice cream cart. Cart sales are expected to be $2,700 a year for four years. After the four years, the cart is expected to be worthless as that is the expected remaining life of the cooling system. What is the pa..

User Account

All Pages