Share
Explore BrainMass

Inventory

I need to solve these inventory analyses with calculations

1-1. Ray's Satellite Emporium wishes to determine the best order size for its best-selling satellite dish (model TS111). Ray has estimated the annual demand for this model at 1,000 units. His cost to carry one unit is $100 per year per unit, and he has estimated that each order costs $25 to place. Using the EOQ model, how many s

ACCOUNTING QUESTIONS: Multiple choice questions on valuing inventory

Quest 1. Most methods of pricing inventories are in accord with generally accepted accounting principles and generally are permissible for income tax purposes. One method that does not fall into this category is a. moving average. b. weighted average. c. LIFO. d. variable costing. Que

FIFO, weighted average, and LIFO methods 13. FIFO, weighted average, and LIFO methods are often used instead of specific identification for inventory valuation purposes. Compare these methods with the specific identification method, discussing the theoretical propriety of each method in the determination of income and asset valuation.

13. FIFO, weighted average, and LIFO methods are often used instead of specific identification for inventory valuation purposes. Compare these methods with the specific identification method, discussing the theoretical propriety of each method in the determination of income and asset valuation.

Inventory Decisions with Uncertain Factors

The Green Thumb roadside fruit and vegetable stand much order its cherries from a nearby orchard before they are picked. The following probability distribution for seasonal cherry demand applies: Possible Demand Probability D = 100 boxed .15 D = 150 .20 D = 200 .30 D = 250 .20 D = 300 .15 Green Thumb

Inventory Policy

A warehouse sells 4 products with a different demand for each product. Each product has a different holding cost and requires a certain amount of space. What should the ordering policy for the warehouse be, given its limited storage capacity?

Inventory identification methods

E3: Paul's Farm Store recorded the following purchases and sales of fertilizer during the past year: Jan. 1 Beginning Inventory 250 cases @ $23 $5,750 Feb. 25 Purchase 100 cases @ $26 2,600 June 15 Purchase 400 cases @ $28 11,200 Aug. 15 Purchase 100 cases @ $26 2,600 Oct. 15 Purchase 300 cases @ $28 8,400 Dec. 15

Inventory

Why do you think inventory is one of the more complex areas for and auditor to test? What kinds of inventories are performed at your organization? Have you ever taken part in them?

Inventory Costs

E7 On June 15, Tunnale Company sold merchandise for $ 1,300 on terms of n/30 to Whist Company. On June 20, Whist Company returned some of the merchandise for a credit of $ 300, and on June 25, Whist paid the balance owed. Give Tunnale's entries to record the sale, return, and receipt of payment under the perpetual inventory syst

Confusing exercises

SE 5 Record in journal form each of the following transactions, assuming the perpetual inventory system is used: August 2 - Purchased merchandise on credit from Bean Company, invoice dated August 1, terms n/10, FOB shipping point $2,300. 3 - Received bill from Ace Shipping Company for transportation costs on August 2 ship

Depreciation, payroll and common and preferred stocks

Record transactions. Prepare the journal entry for each of the following transactions that occurred during the first year of operations at Sherman Co. Cost-flow assumptions - FIFO and LIFO using periodic and perpetual systems. The inventory records of Twilight, Inc., Reflected the following information for the year ended De

Effects of inventory errors

Effects of inventory errors. Following are condensed income statements for Uncle Bill's Home Improvement Center, for the years ended December 31, 2003, and 2002. (see attached) Uncle Bill was concerned about the operating results for 2003 and asked his recently hired accountant, "If sales increased in 2003, why was net inc

Inventory control problem regular components

Logan Manufacturing has gone out on bid for a regular component. expected demand is 700 units per month. the item can be purchased from either allen manufacturing or baker manufacturing. their price lists are bellow. ordering cost is $50, and annual holding cost per unit is $5. allen mfg.

E8-5 Craig Company: Inventoriable Costs, Error Adjustments, inventory balance

E8-5 (Inventoriable Costs?Error Adjustments) Craig Company asks you to review its December 31, 2004, inventory values and prepare the necessary adjustments to the books. The following information is given to you. 1. Craig uses the periodic method of recording inventory. A physical count reveals $234,890 of inventory on hand a

LIFO and FIFO method. XYZ Company

XYZ Company uses the periodic inventory method and had the following inventory information available: Units Unit Cost Total Cost 1/1 Beginning Inventory 100 $4 $ 400 1/20 Purchase 400 $5 2,000 7/25 Purchase 300 $6 1,800 10/20 Purchase 200 $7 1,400 1,000 $5,600 A physical count of inventory on December 31 re

Determine Ending Inventory

Smith Company had a beginning inventory of 200 units at a cost of $12 per unit on August 1. During the month, the following purchases and sales were made. Purchases Sales August 4 250 units at $13 Aug

Adventure_Tech_06.xls

Adventure Technology Balance Sheet December 31, 2005 ($thousands) 2001 2002 Assets Cash & Marketable Sec. $60 $49 Accts. Receivable 406 448 Inventory 600 640 Total Current Assets $1,066 $1,137 Fixed Assets Gross Fixed Assets 1,130 1,280 Less:Acc. Depreciation 307 384 Net Fixed A

PERPETUAL INVENTORY

DAZZLE BOOK WAREHOUSE DISTRIBUTES HARDBACK BOOKS TO RETAIL STORES AND EXTENDS CREDIT TERMS OF 2/10, N/30 TO ALL OF ITS CUSTOMERS. AT THE END OF MAY, DAZZLE'S INVENTORY COSISTED OF 240 BOOKS PURCHASED AT $1200. DURING THE MONTH OF JUNE THE FOLLOWING MERCHANDISING TRANSACTIONS OCCURRED. JUNE 1 PURCHASED 130 BOOKS ON ACCOUNT F

Inventory models

Johansen 's Ice Cream Shoppe purchases fresh-baked waf .e cones from the Myra Cone Company. The cones cost Johansen $0.28 each and are delivered once each day. Johansen 's charges customers who want their ice cream in a waffle cone an extra $0.40. If Johansen 's runs out of waf .e cones,it estimates that it suffers a customer go

Inventory models

OfficeHQ carries boxes of Disco floppy diskettes. Because the diskettes come in different formats, OfficeHQ has decided to use a periodic review policy, in which it places an order with Disco once every three weeks. Weekly demand for Disco diskettes at OfficeHQ averages 45 boxes. The lead time for delivery is approximately one w

Inventory models

It is October 15, and Furr's Stationary must decide how many calendars it should order from the World Wildlife Federation. The calendars cost the company $4.25, and Furr 's sells them for $9.50. The calendars will arrive on November 1,and demand during the period between November 1 and Christmas is estimated to follow a normal

Inventory models: Quantity discount model

Zeigler's Lumber Supply sells an average of 15,200 board feet of 2 by 4 lumber weekly. Ziegler's purchases its 2 by 4 lumber from Western Cascade Wood Products. Western Cascade offers its customers the following all units quantity discount schedule: Order Quantity (in Board Feet) Cost per Board Foot 1 -24,999

Inventory models

Mother Smith's Pies produces frozen fruit pies for sale to local restaurants. Demand for one of its best sellers, apple,averages 150 pies per day. The company's production facility is capable of producing 50 pies per hour and operates eight hours a day, seven days a week. The pies cost $2.25 to produce,and Mother Smith 's estima

Inventory models

SportWorld.com places orders for Wilson golf balls every other week. Weekly demand for these golf balls averages 50 dozen, and the lead time for delivery of the balls is one week. SportWorld.com wishes to have a safety stock of 10 dozen golf balls to allow for variation in weekly demand. If the inventory at the time an order is