out and the equivalent units in ending work in process inventory. FIFO More accurate than weighted average method The calculation of equivalent units is different. The way in which the costs of beginning inventory are treated in the cost reconciliation is different. Better way to look at cost control. In a lean production environment, FIFO and weighted-average methods yield similar unit costs. When considering cost control, FIFO is superior to weighted-average because it does not mix costs of
Words: 432 - Pages: 2
I الجامعة اإلسالمية -غزة كليــــــة التـــجــــــــارة قســــم المحــاسبـــــــــة Islamic University – Gaza Faculty of Commerce Department of Accounting A Graduation Research Proposal Presented to the Faculty of Commerce The Islamic University of Gaza Prepared By Mosa zuhair al-nassan Mosbah al-shaghnobi Mohammed Nabaheen 120091941 120092552 120102597 Supervisor's name Mr. Salah Shubir 3102 I I A Holy Qur'an Verse A Holy Qur'an Verse
Words: 11924 - Pages: 48
1. What is the function of the /etc/hosts file? Which services can you use in place of or to supplement the hosts file? This file holds the hostname and IP address of the local system. It also holds a special entry for localhost. This entry supports the loopback service, which allows the local system to talk to itself. The IP address of the loopback serviceis always 127.0.0.1, while 127.0.1.1 names the local system. 2. What does the /etc/resolv.conf file do? What do the nameserver lines
Words: 682 - Pages: 3
$2,480 or (360 X $6.89). BE 6-5 (a) FIFO would result in the highest net income. (b) FIFO would result in the highest ending inventory. (c) LIFO would result in the lowest income tax expense (because it would result in the lowest net income). (d) Average-cost would result in the most stable income over a number of years because it averages out any big changes in the cost of inventory. BE 6-6 Cost of goods sold under: | | | LIFO | | FIFO | | Purchases | | $6 X 100 | | $6 X
Words: 468 - Pages: 2
ratios and measurements affected include: * Cost of Goods Sold * Gross Margin * Gross Margin percentage of Sales * Income Before Taxes * Income Tax Expense * Pre-tax return on sales, and pre-tax return on assets Using LIFO vs. FIFO affects the ability to directly compare results because of the impact on gross margin and profit. Assuming merchandise costs are rising over time, accounting under LIFO will understate the net income (profit) for the current period by assigning the
Words: 601 - Pages: 3
The assets that a business purchases and holds for resale are called inventory. The three major inventory valuation methods are LIFO, FIFO and Weighted Average. Under the last in, first out inventory (LIFO) method, the cost of the last goods received are charged to cost of goods sold and matched with revenue from sales. When first in, first out inventory (FIFO) method is used, the items in the beginning inventory are assumed to be sold first. Sales are assumed to come in the order in which they
Words: 295 - Pages: 2
accounting policy? Construction in Process 170,000 Deferred Tax Liability ($170,000 X 35%) 59,500 Retained Earnings 110,500* *($170,000 X 65% = $110,500) Question 2 Ramirez Co. decides at the beginning of 2010 to adopt the FIFO method of inventory valuation. Ramirez had used the average cost (AC) method for financial reporting since its
Words: 1617 - Pages: 7
access to your computer. 3. On your F: drive, open the op_models and then open the NETW320 folder. 4. Open the Lab2_RouterTOS.project 5. Click on Lab2_RouterTOS.prj 6. Click Open. The project should open. 7. Choose Scenarios > Switch To Scenario > FIFO Configure the Simulation Run 1. We are now ready to configure the Simulation Run. Select the Configuration/Run Discrete Event Simulation tab (the running man) from the tool bar. The following screen will open. 2. Set the Duration to 4 (if
Words: 2594 - Pages: 11
Chapter 17 Process Costing ➢ Process Costing – the method of assigning total cost to many identical or similar units. Each unit receives the same or similar amounts of direct material costs, direct labor costs, and indirect manufacturing costs. Unit costs are computed by dividing total costs incurred by the number of units of output from the production process. The main difference between process costing and job costing is the extend of averaging used to compute unit costs of products
Words: 1702 - Pages: 7
CHAPTER 6 Inventory Costing ASSIGNMENT CLASSIFICATION TABLE | | |Brief | |Problems |Problems | |Study Objectives |Questions |Exercises |Exercises |Set A |Set B | |1. Describe the steps in determining inventory|1, 2, 3, 4 |1, 2 | 1
Words: 3751 - Pages: 16
