Inventory management use templet dp | ACCT | Capella University

Answer questions regarding inventory management. USE TEMPLET

Introduction

Inventories are the least liquid form of any assets. In other words, they cannot be converted into cash easily. Inventories can be in the form of raw material, goods under process, or finished goods, but unless the finished goods are sold, cash is tied up into inventories. Similarly, if the raw material is not converted into final goods, then cash is blocked in raw material. Therefore, managing inventories and supply chains is very important for merchandising businesses.

Have you ever taken advantage of a preinventory sale at your favorite retail store? Many stores offer bargain prices to reduce the merchandise on hand and to minimize the time and expense of taking the inventory. A smaller inventory also enhances the probability of taking an accurate inventory since the store has less merchandise to count.

From your studies you know that companies use inventory amounts to determine the cost of goods sold. This major expense affects a merchandising company’s net income. Now, you examine the importance and role of inventories in preparing an accurate income statement and balance sheet. Your work will also stress the importance of having accurate inventory figures and the serious consequences of using inaccurate inventory figures. After more study, you should understand how taking inventory connects with the cost of goods sold figure on the store’s income statement, the retained earnings amount on the statement of retained earnings, and both the inventory figure and the retained earnings amount on the store’s balance sheet.

Overview

This assessment focuses on cost flow assumptions and inventory valuation. It requires an understanding of:

  • The value of proper merchandise inventory valuation for an organization’s financials.
  • The concept of the physical flow of goods.
  • The most commonly used inventory valuation methods.
  • How to use alternative historical cost methods for valuing merchandise inventory.
  • How to use the inventory turnover ratio as a tool for financial analysis.

Instructions

Answer questions correctly. When you are satisfied with your responses, save and submit your template in the courseroom.

Step 1: Identify the costs to be included when calculating inventory cost.

Step 2: Explain the three methods of costing and which one will yield the highest tax net income where price level is declining.

Step 3: Describe alternative methods of calculating inventory cost.

Step 4: Calculate the inventory turnover for a company.

Step 5: Identify which methods to determine shrinkage or shortage in the physical inventory.

Competencies Measured

By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:

  • Competency 1: Define accounting terminology and its application to accounting principles. 
    • Identify the costs to be included when calculating inventory cost.
    • Explains the three methods of costing and which one will yield the highest tax net income where price level is declining.
    • Explain methods to determine shrinkage or shortage in the physical inventory.
  • Competency 2: Apply accounting cycle strategies to manage business financial events. 
    • Describe alternative methods of calculating inventory cost.
    • Calculate the inventory turnover for a company.
  • Competency 4: Convey purpose, in an appropriate tone and style, incorporating supporting evidence and adhering to organizational, professional, and scholarly writing standards. 
    • Convey clear meaning through appropriate word choice and usage.
University Writings
Calculate your paper price
Pages (550 words)
Approximate price: -

Why Work with Us

Top Quality and Well-Researched Papers

We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.

Professional and Experienced Academic Writers

We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.

Essays

Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.

Admissions

Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.

Reviews

Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.

Reviews

Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.