Retail Inventory Method
Vložit
- čas přidán 29. 04. 2017
- This video shows how to use the retail inventory method in Financial Accounting. The retail inventory method is a quick and cheap way to estimate the ending inventory. Instead of doing a physical count of the inventory, you calculate the cost-to-retail percentage and use it to determine how much inventory was in Cost of Goods Sold, which then allows you to calculate the ending inventory. The video provides an example that shows how to compute the ending inventory using the cost-to-retail percentage.
There are a couple of drawbacks to using the retail inventory method. It is not very accurate if the cost-of-retail percentage is different for each of the products that the company sells or if the cost-of-retail percentage varies over time.-
Edspira is the creation of Michael McLaughlin, an award-winning professor who went from teenage homelessness to a PhD. Edspira’s mission is to make a high-quality business education freely available to the world.
-
SUBSCRIBE FOR A FREE 53-PAGE GUIDE TO THE FINANCIAL STATEMENTS, PLUS:
• A 23-PAGE GUIDE TO MANAGERIAL ACCOUNTING
• A 44-PAGE GUIDE TO U.S. TAXATION
• A 75-PAGE GUIDE TO FINANCIAL STATEMENT ANALYSIS
• MANY MORE FREE PDF GUIDES AND SPREADSHEETS
* eepurl.com/dIaa5z
-
SUPPORT EDSPIRA ON PATREON
* / prof_mclaughlin
-
GET CERTIFIED IN FINANCIAL STATEMENT ANALYSIS, IFRS 16, AND ASSET-LIABILITY MANAGEMENT
* edspira.thinkific.com
-
LISTEN TO THE SCHEME PODCAST
* Apple Podcasts: podcasts.apple.com/us/podcast...
* Spotify: open.spotify.com/show/4WaNTqV...
* Website: www.edspira.com/podcast-2/
-
GET TAX TIPS ON TIKTOK
* / prof_mclaughlin
-
ACCESS INDEX OF VIDEOS
* www.edspira.com/index
-
CONNECT WITH EDSPIRA
* Facebook: / edspira
* Instagram: / edspiradotcom
* LinkedIn: / edspira
-
CONNECT WITH MICHAEL
* Twitter: / prof_mclaughlin
* LinkedIn: / prof-michael-mclaughlin
-
ABOUT EDSPIRA AND ITS CREATOR
* www.edspira.com/about/
* michaelmclaughlin.com
Thanks for posting this video. Excellent explanation!!!
You're a lifesaver, they kept telling us it's easy but I couldn't figure out what they were doing, thanks so much!
Glad I could help!
Thank you! My class is online with no lectures and I was not understanding this from the reading.
That sounds like a rough class, I'm glad the videos helped!
Me too
Very helpful! 👍
You deserve more subscribers and likes ... I am really happy that you are teaching this business subject to the public for free ... God bless you 😇💖
Please please please can you do a video about the retail inventory with markups and markdowns???? Please please please!!! Thanks so much. You’re the only thing keeping me from failing these classes!!!!
This video is a lot more like a gross profit method and not the retail inventory method
Great explanation
thx that's helpful!
I really really really thank you , my final exam is tmw ,i was lost but u helped me alot
Rawan mohmmad from the future; did you graduate?
Hi, could you make a more detailed discussion of the retail method? Please make use of a manufacturing company with normal and abnormal losses in production as example. I would really appreciate it.
Amazing
Thank you!
Thx
Why was this not done in a table? Thanks
so why this method even exist if we know there is no way we can use it as the price of material definetely will increased over time, and also it's quite rare the company sell only 1 product?
BANANA, thank you
#715
I see very useless this exercise, it seems like a way to complicate life and not even useful since the two "hypotheses" (1 and 2) are clearly impossible. it would be like finding a company that is an astral alignment.
Why did they come up with this hahah?