Compare the advantages of using the retail method

Assignment Help Accounting Basics
Reference no: EM13125793

High-volume retailers generally use the retail method for valuing inventories Instead of the various cost methods. Identify and evaluate the conditions that may distort the results under the retail method.Compare the advantages of using the retail method with those of using the cost methods of inventory pricing.

Reference no: EM13125793

Questions Cloud

Violating the clean water act : Appellant Iverson appealed a conviction of four counts of violating the Clean Water Act (CWA),[1] the Washington Administrative Code (WAC), and the City of Olympia's Municipal Code (Olympia code). He also appealed the conviction of one count of consp..
Determine the mass of citric acid produced : C12H22O11(aq) + 3 O2(g) 2 H3C6H5O7(aq) + 3 H2O(l) Determine the mass of citric acid produced when 4.60 mol C12H22O11 is used.
Path-connected space-connectivity and homotopy : Let X be a path-connected space and suppose that every map f: S^1 --> X is homotopically trivial but not necessarily by a homotopy leaving the base point x_0 fixed. Show that pi_1(X,x_0) = 0.
Ending inventory of plastic : The cost of plastic is $0.03 per ounce. How much is the ending inventory of plastic to be reported on the company's balance sheet at September 30?
Compare the advantages of using the retail method : High-volume retailers generally use the retail method for valuing inventories Instead of the various cost methods. Identify and evaluate the conditions that may distort the results under the retail method.Compare the advantages of using the retail..
Group theory-closure and associativity : To determine whether the system described is a group. G = set of all integers, a.b = a - b
Explain vapor pressure of ideal solutions : Explain Vapor Pressure of Ideal Solutions, At 25C the vapor pressures of chloroform and carbon tetrachloride are 26.54 and 15.27 kPa respectively. If the liquids form ideal solutions
Key elements of internal control : Why do auditors have to consider the internal controls of the organization? What are some key elements of internal control? Which are the most important?
What presumptions can be made about the following : The third generally accepted standard of audit fieldwork requires that auditors obtain sufficient, competent audit evidence to afford a reasonable basis for an opinion regarding the financial statements under examination.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Fraudulent activity in business

What type of fraudulent activity could this have been and what type of testing could have been included in the audit to discover it? What can auditors do to verify inventory levels and that no fraudulent activity is occurring between annual inven..

  Phases of the retirement plan

Kim is measuring her retirement plan. Assume she has $500,000 when she retires in an account that earns at an effective annual rate of 9%.

  Income taxes in future financial reporting periods

Are there any provisions that a company can take to avoid a big hit from audit findings for income taxes in future financial reporting periods - sort of a temporary holding accounts?

  In what direction did the cost of purchases move

Quayle Corporation's inventory cost on its balance sheet was lower using first-in, first-out than it would have been using last-in, first-out. Assuming no beginning inventory, in what direction did the cost of purchases move during the period?

  List at least four audit procedures

To adequately plan an audit, the auditor should obtain sufficient knowledge of the client's business to understand events, transactions, and practices that may have a significant effect on the financial statements.

  Difference between kamaths and gehrs

What is the difference between Kamath's and Gehr's required rates of return? (Hint: First, find the market risk premium, then find required returns on the stocks.)

  Discretionary and nondiscretionary fiscal policy

Analyze the difference between discretionary and nondiscretionary fiscal policy. Explain the effects of discretionary and nondiscretionary fiscal policy on governmental revenue and expenditures.

  Explain how a sale would be generally treated

If economic depreciation refers to diminution in value because of obsolescence, physical wear and tear, technological advances in substitute goods, or changes in consumption behavior.

  Shut down condition for a competitive firm-norm fish

orm Fish makes cheap fishing rods and operates in a competitive market.  The company has a fixed cost of $20,000 per period.  In addition the firm incurs production or variable costs depending on its output as follows:

  Condemnation award gains-replacement real property

William Stevenson sold his warehouse to a public utility for $24,000 under a threat of condemnation. He paid $25000 for the property and spent an addition $1000 for a new roof. He had claimed $3600 depreciation in conjunction with the condemnation..

  Determine the amounts that should be debited to land

Determine the amounts that should be debited to Land, to Buildings, and to Machinery and Equipment. Assume the benefits of capitalizing interest during construction exceed the cost of implementation.

  Sale and trading securities

Prepare the adjusting entry (if any) for 2007, assuming the securities are classified as trading. Prepare the adjusting entry (if any) for 2007, assuming the securities are classified as available for-sale.

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!

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