Financial Accounting–Inventory & Merchandising Transactions

Merchandising transaction including purchase and sale of inventory, discounts, and returns. FIFO, LIFO, Average Methods

What you'll learn
Inventory Costing
First In First Out (FIFO) cost flow method
Last In First Out (LIFO) cost flow method
Weighted average cost flow method
Periodic inventory method
Perpetual inventory method
Merchandising transactions
Record purchase of merchandise
Record the sale of merchandise
Perpetual and periodic inventory systems
Sales discount and purchase discount
Inventory shrinkage and sales returns
Financial statements for a merchandising company
Comprehensive problem of the entire accounting cycle
Requirements
We should have a basic understanding of financial accounting and debits and credits.
Description
We cover merchandising transactions and cost flow assumptions.Merchandising transaction, those transaction that deal with inventory, including the purchase of inventory and the sale of inventory. We will discuss related topics including sales discounts, purchase discounts, sales return and allowances, shrinkage and the cost of goods sold calculation. We will also compare and contrast a perpetual inventory system and periodic inventory system, listing and describing the pros and cons of each, explaining when each may be most appropriate in practice.  Inventory costs and cost flows, including what is included in the cost of inventory and how to account for inventory freight costs, inventory insurance costs, and discount. We also discuss inventory flow assumptions including specific identification, first in first out (FIFO), last in first out (LIFO), and weighted average methods. FIFO, LIFO and weighted average methods will be discussed using both a periodic inventory system and a perpetual inventory system. 
In addition to instructional video, this course will include downloadable
•    Downloadable PDF Files
•    Excel Practice Files
•    Multiple Choice Practice Questions
•    Short Calculation Practice Questions
•    Discussion Questions
The PDF files allow us to download reference information we can use offline and as a guide to help us work through the material.
Excel practice files will be preformatted so that we can focus on the adjusting process and learning some of the basics of Excel, like addition, subtraction, and cell relationships.
Multiple choice example question helps us improve our test-taking skills by reducing the information into the size and format of multiple choice questions and discussing how to approach these questions.
Short calculation questions help us reduce problems that have some calculation down to a short format that could be used in multiple choice questions.
Discussion Question will provide an opportunity to discuss these topics with the instructor and other students, a process many students find very helpful because it allows us to see the topic from different viewpoints.
Who will we be learning from?
You will be learning from somebody who has technical experience in accounting concepts and in accounting software like QuickBooks, as well as experience teaching and putting together curriculum.
You will be learning from somebody who is a:
•    CPA – Certified Public Accountant
•    CGMA – Chartered Global Management Accountant
•    Master of Science in Taxation
•    CPS – Certifies Post-Secondary Instructor
•    Curriculum Development Export
As a practicing CPA the instructor has worked with many technical accounting issues and helped work through them and discuss them with clients of all levels.
As a CPS and professor, the instructor has taught many accounting classes and worked with many students in the fields of accounting, business, and business applications.
The instructor also has a lot of experience designing courses and learning how students learn best and how to help students achieve their objectives. Experience designing technical courses has also benefit in being able to design a course in a logical fashion and deal with problems related to technical topics and the use of software like QuickBooks Pro.
Summary of what will be covered: 
Merchandising TransactionPurchase of merchandise or inventorySale of merchandise or inventoryPerpetual and Periodic Inventory SystemWe will compare and contrast the perpetual and periodic inventory systems. Sales Discount & Purchase DiscountIt is easy to get the sales discount and purchase discount confused and mixed up. We will discuss both transactions and how to record them. Inventory Shrinkage & Sales Returns. Inventory Shrinkage has do do will  loss of inventory, the problem being how to know it is lost and how to record the loss. Sales return are when inventory is returned after a sale. We will record transactions related to sales returns. Financial Statements - Merchandising CompanyFinancial statements, especially the income statement, are typically more complex for merchandising companies then service companies. Comprehensive ProblemsWe will have to comprehensive problems, on focused on financial transactions, more of a mid sized problem. The second comprehensive problem will cover the full accounting cycle for a merchandising company, the recording of financial transaction, adjusting entries, financial statements, and closing process. Inventory Tracking methodsSpecific identification methodFirst in first out (FIFO) methodLast in first out (LIFO) methodWeighted average methodInventory costsFrightInsurancePurchase discountsPeriodic system verses a perpetual system. We discuss FIFO, LIFO, and weighted average under each system. Key definitionsComprehensive problem

Overview

Section 1: Introduction

Lecture 1 Introduction

Section 2: Part One - Merchandising Transactions

Lecture 2 Part One - Merchandising Transaction

Section 3: Part 1 - Accounting Fundamentals and Merchandising Accounting Cycle

Lecture 3 2 Accounting Fundamentals and Merchandising Accounting Cycle

Lecture 4 100.90 Accounting Building Blocks (1)

Lecture 5 200 Debits %26 Credits Normal Balance - Double Entry Accounting Sy

Lecture 6 200 Journal Entry Thought Process - How To Record Journal Entries

Lecture 7 PDF - 1 Operating Cycle

Lecture 8 1 Accounting Cycle Merchandising Company

Lecture 9 Accounting Comic Break

Lecture 10 Accounting Comic Break

Section 4: Part 1 Merchandising Transactions Overview

Lecture 11 3 Merchandising Transactions Overview

Lecture 12 PDF - 20 Merchandising transaction intro

Lecture 13 20 500 - Merchandising Transaction Explained Purchaser and Se

Lecture 14 PDF - 30 Merchandising Transaction purchase on account

Lecture 15 30 500 Merchandising Transaction Journal Entry Purchaser

Lecture 16 PDF - 40 Merchandising sale journal entry

Lecture 17 40 500 Merchandising Transaction Sales Journal Entry - COGS Jou

Lecture 18 Accounting Comic Break

Section 5: Part 1 Perpetual and Periodic Inventory Systems

Lecture 19 4 Perpetual and Periodic Inventory Systems Overview

Lecture 20 PDF - 5 Periodic Inventory System

Lecture 21 10 Periodic Inventory System

Lecture 22 Excel Download

Lecture 23 Worksheet Periodic System

Lecture 24 PDF - 10 Perpetual Inventory System

Lecture 25 5 Perpetual Inventory System

Lecture 26 Excel Download

Lecture 27 Worksheet - Perpetual Inventory System

Lecture 28 PDF - 15 Perpetual vs Periodic

Lecture 29 15 Perpetual vs. Periodic Inventory System

Lecture 30 Accounting Comic Break

Section 6: Part 1 Sales Discount & Purchase Discount

Lecture 31 5 Sales Discount %26 Purchase Discount Overview

Lecture 32 PDF - 50 Sales discount vs purchase discount

Lecture 33 50 500 Sales Discount VS. Purchase Discount

Lecture 34 PDF - 60 Merchandising Transaction purchase on account DIscount

Lecture 35 60 500 Purchase Discount Journal Entry Explained

Lecture 36 PDF - 70 Sales discount journal entry

Lecture 37 70 500 Sales Discount Explained Journal Entry Record Discou

Lecture 38 Excel Download

Lecture 39 Worksheet Purchase Discount & Sales Discount

Lecture 40 10 Multiple Choice Questions Merchandising Company

Lecture 41 Accounting Comic Break

Section 7: Part 1 Inventory Shrinkage & Sales Return

Lecture 42 6 Inventory Shrinkage %26 Sales Returns

Lecture 43 PDF - 90 Inventory Shrinkage

Lecture 44 90 Inventory Shrinkage

Lecture 45 Excel Download

Lecture 46 Worksheet - Inventory Shrinkage

Lecture 47 PDF - 100 Sales Return

Lecture 48 100 Sales Return & Allowance Transaction

Lecture 49 Excel Download

Lecture 50 Worksheet - Sales Return

Lecture 51 Accounting Comic Break

Section 8: Part 1 Financial Statements - Merchandising Company

Lecture 52 7 Financial Statements - Merchandising Company

Lecture 53 Single Step Income Statement Review

Lecture 54 110 500.20 Merchandising Financial Statements-Accounting instructions

Lecture 55 20 Multiple Choice Questions Merchandising Company

Lecture 56 Short Calculation 1

Lecture 57 30 Multiple Choice Questions Merchandising Company

Lecture 58 Accounting Comic Break

Section 9: Part 1 Merchandising Transaction Problem

Lecture 59 Excel Download

Lecture 60 500.10 Merchandising Ex Part 1-Accounting%2C Financial (2)

Lecture 61 500.20 Merchandising Ex Part 2-Accounting%2C Financial (1)

Lecture 62 500.30 Merchandising Ex Part 3-Accounting%2C Financial (1)

Lecture 63 500.40 Merchandising Ex Part 4-Accounting%2C Financial (1)

Lecture 64 Short Calculation 2

Lecture 65 Accounting Comic Break

Section 10: Part 1 Definitions & Key Terms

Lecture 66 45 Invoice Definition - What is Invoice%3F

Lecture 67 Cash Discount Definition - What is a Cash Discount%3F

Lecture 68 Credit Memorandum Definition - What is a Credit Memorandum%3F

Lecture 69 Credit Period Definition -What is a Credit Period%3F

Lecture 70 Credit Terms Definition -What are Credit Terms%3F

Lecture 71 FOB Definition%2C Free on Board - FOB Shipping Point - FOB Destination - What is

Lecture 72 Gross Margin Definition - What is Gross Margin%3F

Lecture 73 Gross Margin Ratio Definition

Lecture 74 Gross Profit Definition - What is Gross Profit%3F

Lecture 75 Gross Profit Ratio Definition - What is gross profit ratio

Lecture 76 Inventory Definition

Lecture 77 Merchandise Definition

Lecture 78 Multiple-Step Income Statement Definition - What is a Multiple-Step Income State

Lecture 79 Periodic Inventory System Definition - What is Periodic Inventory System%3F

Lecture 80 Perpetual Inventory System Definition - What is Perpetual Inventory System%3F

Lecture 81 Purchase Discount Definition - What is Purchase Discount%3F

Lecture 82 Sales Discount Definition - What is sales discount%3F

Lecture 83 Shrinkage Definition - What is Shrinkage%3F

Lecture 84 Single-Step Income Statement - What is a Singe-Step Income S

Lecture 85 Trade Discount Definition - What is a Trade Discount

Lecture 86 Wholesaler Definition - What is a Wholesaler%3F

Lecture 87 Accounting Comic Break

Section 11: Part Two - Inventory Costs & Cost Flows

Lecture 88 Part Two Inventory Costs & Cost Flows

Section 12: Part 2 Inventory Tracking & Inventory Methods

Lecture 89 2 Inventory Tracking & Inventory Methods

Lecture 90 PDF - 10 600 Inventory Tracking Explained - Introduction-Specific Ide

Lecture 91 10 600 Inventory Tracking Explained - Introduction-Specific Ide

Lecture 92 PDF - 15 600 Inventory Methods Explained and compared FIFO LIFO Ave

Lecture 93 15 600 Inventory Methods Explained and compared FIFO LIFO Ave

Lecture 94 Accounting Comic Break

Section 13: Part 2 Inventory Cost, Principles, and Perpetual vs Periodic Inventory Systems

Lecture 95 3 Inventory Cost, Principles, and Perpetual vs Periodic Methods

Lecture 96 PDF - 17 Inventory Costs

Lecture 97 17 Inventory Costs

Lecture 98 PDF - 20 Consistency Concept

Lecture 99 20 Consistency Concept

Lecture 100 PDF - 30 Lower of Cost or Market

Lecture 101 30 Lower of Cost or Market

Lecture 102 PDF - 40 Perpetual & Periodic Inventory Systems

Lecture 103 40 Perpetual & Periodic Inventory Systems

Lecture 104 Multiple Choice 1 - Inventory Cost

Lecture 105 Accounting Comic Break

Section 14: Part 2 Periodic System First In First Out (FIFO)

Lecture 106 4 Periodic System First In First Out (FIFO)

Lecture 107 PDF - 42 First In First Out (FIFO) Periodic System

Lecture 108 42 First In First Out (FIFO) Periodic System

Lecture 109 Excel Download

Lecture 110 Worksheet FIFO Periodic System

Lecture 111 Multiple Choice 2 - Inventory Cost

Lecture 112 Accounting Comic Break

Section 15: Part 2 Periodic System Last In Last Out (LIFO)

Lecture 113 5 Periodic System Last In First Out (LIFO)

Lecture 114 PDF - 44 Last In First Out LIFO Periodic

Lecture 115 44 Last In First Out LIFO Periodic

Lecture 116 Excel Download

Lecture 117 Worksheet Last In First Out (LIFO) Periodic System

Lecture 118 Accounting Comic Break

Section 16: Part 2 Periodic Weighted Average Method

Lecture 119 6 Periodic Weighted Average Method

Lecture 120 PDF - 46 Weighted Average Periodic System

Lecture 121 46 Weighted Average Periodic System

Lecture 122 Excel Download

Lecture 123 Worksheet Weighted Average Periodic System

Lecture 124 Multiple Choice 3 - Inventory Cost

Lecture 125 Accounting Comic Break

Section 17: Part 2 Perpetual System Fist In First Out (FIFO)

Lecture 126 7 Perpetual System First In First Out (FIFO)

Lecture 127 PDF - 50 600 First In First Out FIFO Explained

Lecture 128 50 600 First In First Out FIFO Explained

Lecture 129 Excel Download

Lecture 130 Worksheet 600.10 Inventory Cost Problem First In First Out part 1 Ex.%2C how to

Lecture 131 Worksheet 600.20 Inventory Cost Problem First In First Out part 2 Ex.%2C how to

Lecture 132 Multiple Choice 4 - Inventory Cost

Lecture 133 Accounting Comic Break

Section 18: Part 2 Perpetual System Last In First Out (LIFO)

Lecture 134 8 Perpetual System Last In First Out LIFO

Lecture 135 PDF - 60 600 Last In First Out LIFO Inventory Method Explained

Lecture 136 60 600 Last In First Out LIFO Inventory Method Explained

Lecture 137 Excel Download

Lecture 138 Worksheet 600.50 Cost Problem Last In First Out LIFO part 1 Ex.%2C how to calc

Lecture 139 Worksheet 600.60 Cost Problem Last In First Out LIFO part 2 Ex.%2C how to calcul

Lecture 140 Multiple Choice 5 Inventory Cost

Lecture 141 Short Calculation 1

Lecture 142 Accounting Comic Break

Section 19: Part 2 Perpetual System Weighted Average Method

Lecture 143 9 Perpetual System Weighted Average Method

Lecture 144 PDF - 70 600 Average Inventory Method Explained

Lecture 145 70 600 Average Inventory Method Explained

Lecture 146 Excel Download

Lecture 147 Worksheet 600.30 Inventory Cost Problem Average method Part 1 Ex.%2C how to calc

Lecture 148 Worksheet - 600.40 Inventory Cost Problem Average method Part 2 Ex.%2C how to c

Lecture 149 Multiple Choice 6 Inventory Cost

Lecture 150 Short Calculation 2

Lecture 151 Accounting Comic Break

Section 20: Part 2 Definitions & Key Terms

Lecture 152 10 Definitions & Key Terms

Lecture 153 Average Cost Definition - What is Average Cost%3F

Lecture 154 Conservatism Constraint Definition - What is Conservatism Co

Lecture 155 Consignee Definition - What is Consignee%3F

Lecture 156 Consignor Definition - What is a Consignor%3F

Lecture 157 Consistency Concept Definition - What is Consistency Concept

Lecture 158 Days Sales in Inventory Definition - What is days sales in i

Lecture 159 First in First out Definition FIFO - What is First in First

Lecture 160 Gross Profit Definition - What is Gross Profit%3F (1)

Lecture 161 Interim Financial Statements Definition - What are Interim Financial Statements%

Lecture 162 Inventory Turnover Definition - What is Inventory Turnover%3F

Lecture 163 Last in First Out LIFO Definition - What is Last in First ou

Lecture 164 Lower of Cost or Market Definition - What is Lower of Cost o

Lecture 165 Net Realizable Value Definition - What is Net Realizable Val

Lecture 166 Retail Inventory Method Definition - What is Retail Inventory Method%3F

Lecture 167 Specific Identification Definition - What is Specific Identi

Lecture 168 Weighted Average Definition - What is Weighted Average Metho

Lecture 169 Accounting Comic Break

Section 21: Part Three Comprehensive Problem

Lecture 170 Part Three Comprehensive Problem

Section 22: Comprehensive Problem

Lecture 171 11 Comprehensive Problem

Lecture 172 Excel Download

Lecture 173 1 Accounting%2C Financial - Comp Problem Merchandising Co Journal Entries Part 1

Lecture 174 2 Accounting%2C Financial - Comp Problem Merchandising Co Journal Entries Part 2

Lecture 175 3.5 Accounting%2C Financial - Comp Problem Merchandising Co Journal Entries Part

Lecture 176 4 Accounting%2C Financial - Comp Problem Merchandising Co %282%29. Journal Entri

Lecture 177 5 Accounting%2C Financial - Comp Problem Merchandising Co. Journal Entries Part

Lecture 178 6 Comp Problem Merchandising Co. Adjusting Entries Part 6

Lecture 179 7 Accounting%2C Financial - Comp Problem Merchandising Co. Adjusting Entries Par

Lecture 180 8 Accounting%2C Financial - Comp Problem Merchandising Co. Financial Statements

Lecture 181 9 Accounting%2C Financial - Comp Problem Merchandising Co. Financial Statements

Lecture 182 10 Accounting%2C Financial - Comp Problem Merchandising Co. Financial Statements

Lecture 183 11 Accounting%2C Financial - Comp Problem Merchandising Co. Financial Statements

Lecture 184 12 Accounting%2C Financial - Comp Problem Merchandising Co. Closing Entries Part

Lecture 185 13 Accounting%2C Financial - Comp Problem Merchandising Co. Closing Entries Part

Lecture 186 Accounting Comic Break

Accounting students,Business owner,Anyone who whats to learn accounting