User Account

All Pages

Identify the inventory method

Assignment Help Accounting Basics
Reference no: EM13526419

For each of the following situations, identify the inventory method that you would use or, given the use of a particular method, state the strategy that you would follow to accomplish your goal:

a. Inventory costs are increasing. Your company uses LIFO and is having an unexpectedly good year. It is near year end, and you need to keep net income from increasing too much in order to save on income tax.

b. Suppliers of your inventory are threatening a labor strike, and it may be difficult for your company to obtain inventory. This situation could increase your income taxes.

c. Company management, like that of IBM and Pier 1 Imports, prefers a middle-of the- road inventory policy that avoids extremes.

d. Inventory costs are decreasing, and your company's board of directors wants to minimize income taxes.

e. Inventory costs are increasing, and the company prefers to report high income.

f. Inventory costs have been stable for several years, and you expect costs to remain stable for the indefinite future. (Give the reason for your choice of method.)

Reference no: EM13526419

Questions Cloud

The coca-cola company in japan : The Coca-Cola Company in Japan
Journalize the additional cash investment by each partner : Prepare separate journal entries to record the transfer of each proprietorship's assets and liabilities to the partnership and journalize the additional cash investment by each partner.
Calculate by how much did he clear it : In 1939 or 1940, Emanuel Zacchini took his human-cannonball act to an extreme: After being shot from a cannon, he soared over three Ferris wheels and into a net, If he reached maximum height over the middle wheel, by how much did he clear it
Supply chain management : Short paper for SUPPLY CHAIN MANAGEMENT
Identify the inventory method : Your company uses LIFO and is having an unexpectedly good year. It is near year end, and you need to keep net income from increasing too much in order to save on income tax.
What is its speed at the instant it leaves the table : A small ball rolls horizontally off the edge of a tabletop that is 1.20 m high. It strikes the floor at a point 1.76 m horizontally away from the edge of the table. What is its speed at the instant it leaves the table
Domain functional level drop-down menu : Why does the Domain Controller Options page have a Domain functional level drop-down menu, but not a Forest functional level drop-down menu?
Why is dr. carter having such a hard time with the idea : Why is Dr. Carter having such a hard time with the idea of marketing?
Prepare separate journal entries to record the transfer : Prepare separate journal entries to record the transfer of each proprietorship's assets and liabilities to the partnership and journalize the additional cash investment by each partner.

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is the target net income

A company requires $1,020,000 in sales to meet its net income target. Its contribution margin is 30%, and fixed costs are $180,000. What is the target net income.

  Accounting records reflecting inventories

Dolan Manufacturing Company's accounting records reflect the following inventories:

  At the beginning of the current period griffey corp had

at the beginning of the current period griffey corp. had balances in accounts receivable of 240500 and in allowance for

  Describe the accounting controls you would expect to find

describe the accounting controls you would expect to find in the purchasing system of a high street retail company and

  Computing the projected accounting profit

Sam Jones is a pharmacist earning $90,000 per year and he decided whether to purchase a pharmacy and become manager of a business that generates revenue of $500,000 each year.

  Compute the present values of the periodic amounts

Using the appropriate interest table, compute the present values of the periodic amounts, due at the end of the designated periods.(a) $53,340 receivable at the end of each period for 8 periods compounded at 12%

  What is the controller role in strategy implementation

What is the controller's role in strategy implementation? Be sure to provide specific examples in your answer.

  Prepare the entries at the date of issuance

Two years later the bond is converted when the market value of the stock is $150. Prepare the entries at the date of issuance and at the date of conversion.

  Investing activities section of the statement of cash flows

If a gain of $9,000 is incurred in selling (for cash) office equipment having a book value of $55,000, the total amount reported in the cash flows from investing activities section of the statement of cash flows is:

  Stonehenge inc a manufacturer of landscaping blocks began

stonehenge inc. a manufacturer of landscaping blocks began operations on april 1 of the current year. during this time

  Discuss the strengths and weaknesses of each topic

Each student is required to conduct and document a "Critical Analysis" of three of the topics covered in Introduction to Management (ITM).

  What is the monthly break-even in sales dollars

Allen Company produces and sells a single product whose selling price is $100.00 per unit and whose variable expense is $80.00 per unit. The company's fixed expense total $400,000 per month. What is the monthly break-even in sales dollars?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd