tailieunhanh - Lecture International accounting: Chapter 4 - Nguyễn Quốc Nhất

Lecture "International accounting - Chapter 4: Merchandising operations" has content: What are merchandising operations, accounting for inventory in the perpetual system, adjusting and closing the accounts of a merchandiser, preparing a merchandiser’s financial statements, three ratios for decision making. | International accounting Chapter 4: Merchandising Operations LOGO Chapter 4 MA. Nguyen Quoc Nhat Learning Objectives 1. Describe and illustrate merchandising operations and the two types of inventory systems 2. Account for the purchase of inventory using a perpetual system 3. Account for the sale of inventory using a perpetual system 4. Adjust and close the accounts of a merchandising business 5. Prepare a merchandiser’s financial statements 6. Use gross profit percentage, inventory turnover, and days in inventory to evaluate a business 7. Account for the sale of inventory using a periodic system 8. Prepare worksheets for a merchandiser Company Logo Chapter ‘s content What Are Merchandising Operations? Accounting for Inventory in the Perpetual System Adjusting and Closing the Accounts of a Merchandiser Preparing a Merchandiser’s Financial Statements Three Ratios for Decision Making MA. NguyenQuocNhat Company Logo 1 International accounting Chapter 4: Merchandising Operations What Are Merchandising Operations? Company Logo What Are Merchandising Operations? The operating cycle of a merchandiser is as follows : 1. It begins when the company purchases inventory from a vendor. 2. The company then sells the inventory to a customer. 3. Finally, the company collects cash from customers. Company Logo What Are Merchandising Operations? Inventory Systems: There are two main types of inventory accounting systems: ● Periodic system ● Perpetual system MA. NguyenQuocNhat Company Logo 2 International accounting Chapter 4: Merchandising Operations What Are Merchandising Operations? Inventory Systems: There are two main types of inventory accounting systems: ● Periodic system - the business physically counts its inventory periodically to determine the quantities on hand ●