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Costing method - PowerPoint PPT Presentation

Chapter 6

Inventories. Chapter 6. Accounting Principles, Ninth Edition. Classifying Inventory. Manufacturing Company. Merchandising Company. One Classification: Merchandise Inventory. Three Classifications: Raw Materials Work in Process Finished Goods.

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Summarize Total Costs (Step 4)

Summarize Total Costs (Step 4). Work in process beginning inventory: Materials $ 9,700 Conversion 10,000 Total beginning inventory $ 19,700. Current costs: Materials $87,500 Conversion 72,000

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LESSON 20-2 Determining the Cost of Merchandise Inventory

LESSON 20-2 Determining the Cost of Merchandise Inventory. Learning Objectives. LO 2 Calculate the cost of merchandise inventory using the first-in, first-out (FIFO) inventory costing method.

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Costing method - PowerPoint PPT Presentation

Chapter 6

Summarize Total Costs (Step 4)

LESSON 20-2 Determining the Cost of Merchandise Inventory