Describe about concept of the GOODS ON CONSIGNMENT?

Q: Define commodity IT asset.

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Q: What amount should be presented as a deduction from cost of goods sold?

A: The GAAP principles require that the inventory should be valued at the lessor amount of its laid…

Q: Compare and contrast the differences and similarities between Cost of Goods Sold and Net Profit.

A: Cost of goods sold (COGS) represents the direct cost of producing the goods. These are the direct…

Q: What is a transfer price? What are the three main approaches to setting transfer prices?

A: Transfer pricing:   Transfer pricing refers to the setting of prices for goods and services that are…

Q: Sales to Y Sales to others Cost of goods sold

A: A consolidated financial statement is inclusive of all the subsidiary companies where the owner has…

Q: What are the valuing inventories?

A: Cost:   It is the economic value incurred by an organization to manufacture a product or to render a…

Q: What is the Cost of goods sold equation?

A: Cost of goods sold: Cost of goods sold is the total of all the expenses incurred by a company to…

Q: Define goods in transit? Explain?

A: Goods are the inventory of the seller and for purchaser, the goods can be the raw material, if the…

Q: Explain how the lower of cost and net realizable value rule is applied to purchase commitments.

A: Purchase Commitments: It refers to the commitments or contract made by a company with its suppliers…

Q: What is a merchandiser?

A: Merchandiser is a business that purchases goods  and resells to customers…

Q: Describe two separate and distinct ways to calculate goods available for sale.

A: Goods available for sale is the cost of total units of finished goods (this includes both…

Q: Define Purchase return.

A: Financial accounting is the process of recording, summarizing, and reporting all the transactions in…

Q: How to Determine the Transaction Price?

A: Definition:   Transaction price: Transaction price refers to the price that a corporation receives…

Q: Define Sales revenue.

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Q: Cost of Goods Sold = [ ? ]

A: COGS includes all the direct expenses that are incurred in production. Indirect expenses to…

Q: What is the market value of goods

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Q: What is the role of Finished-goods inventory?

A: Stock is the term used for the products that are ready for sale and raw materials used to create…

Q: Define sales allowance.

A: Sales allowances: When a customer agrees to buy defective goods or improperly made then seller gives…

Q: What is the cost of goods sold?

A: Retail inventory method refers to an accounting method which is used by the companies to compute the…

Q: What is purchase returns?

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Q: cost of goods sold

A: Net purchases = Purchases - Purchase returns   Grant Lee Purchases $355,200 $185,800 Purchase…

Q: What is a transaction price?

A: Transaction price: It is the price of a service or a good which is expressed relative to the similar…

Q: Define the term Raw-materials- inventory?

A: Inventory is the materials such as raw materials, finished products, in-process goods that are…

Q: What is the consolidated cost of goods sold?

A: On 30.06.2021, ABC acquired EFG = 70% Financial statement of 2022 states that : 1. In 2021, EFG sold…

Q: What is the definition net cost of purchases?

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Q: Explain how to determine the transaction price.

A: Determination of transaction price is one of the step of revenue recognition process. The…

Q: What is the initial cost for transporting the goods as shown in the below table?

A: As question does not specify from which method to apply, SME will solve using North West Corner…

Q: Differentiate between Appraised value and Assessed value?

A: Difference between appraised value and Assessed value:Appraisal value refers to that on a specific…

Q: What is the Cost of Goods Sold for the period?

A: The cost of goods sold is calculated as beginning finished goods inventory plus cost of goods…

Q: Define the term Purchase Volume?

A: INTRODUCTION Purchases  In accounting, the cost of making purchases during a time period with the…

Q: Explain the difference between the flow of cost and the flow of goods as it relates to inventory.

A: Flow of cost means allocation of various cost to  inventory  It refers to a process of allocating…

Q: etc. The return of such goods to the suppliers is recorded in the

A: Option a is wrong because one among the options is correct. Option b is wrong because returns inward…

Q: Define the term merchandiser.

A: Cost accounting system: Cost accounting system of an organization consists of procedures and…

Q: What is a downstream sale of inventory?

A: The downstream sale of inventory is an inter-company transaction between the parent company and its…

Q: cost of goods sold.

A: Understating ending inventory will overstate Cost of Good sold

Q: Define “cost” as applied to the valuation of inventories.

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Q: what document initiates the sale process

A: In the above questions we have asked about the document which initiates sale process.

Q: What is the process of transaction costs?

A: Transaction cost: Transaction cost refers to a cost that is incurred in the process of carrying out…

Q: Cost of Goods Sold

A: Under LIFO inventory value Inventory that is brought at a later date need to be sold first Closing…

Q: Define Freight-in.

A: Purchases: The amount of cost of merchandise bought during a certain period is referred to as the…

Q: Define marking-to-market process.

A: Marking to market process is a vital process in the financial investment industry which has been…

Q: Distinguish between product costs and period costs asthey relate to inventory.

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