《会计学原理》课程教学课件（英文讲稿）Chapter 6 Valuing Inventories, Cost of Goods Sold, and Gross Profit

Chapter6Valuing Inventories, Cost ofGoods Sold,and Gross ProfitGross profit and cost of goods soldThe basic concepts of inventory accountingCost of merchandise acquiredPrincipal inventory valuation methodsThe importance of gross profits

Chapter 6 Valuing Inventories, Cost of Goods Sold, and Gross Profit  Gross profit and cost of goods sold  The basic concepts of inventory accounting  Cost of merchandise acquired  Principal inventory valuation methods  The importance of gross profits

GrossProfit and Cost ofGoods Sold

Gross Profit and Cost of Goods Sold

Gross Profit (Gross Margin)Sales revenues - Cost of goods sold= Gross profit (before operating expensesGross profit- Operating expenses=Netincome

Computing CostBalance SheetCost of inventory on hand=Number ofunits on hand x unit costStatementIncomeCost of goods sold=Number ofunits sold x unit cost

Income StatementsService CompanyMerchandising CompanyCentury2lRealEstateGeneralMotors CorporationIncome StatementIncome StatementYearEndedDecember3l,20xxYearEnded December3l,20xx$185$XXX++SalesrerenueService revenue146Cost of goods sollExpensesX39Salary expenseGrossprofitADepreciationexpenseOperating expenses:Incometax expenseSalary expenseX$Net incomeDepreciation expense空Income tax expense4$Net income

Balance SheetsService CompanyMerchandising CompanyCentury2l RealEstateGeneralMotors CorporationBance SheetBaance SheetYearEndedDecember3l,20xxYearEnded December3l.20xxCurrentassets:Currentassets:$X$XCashCashXXShort-term ivestmentsShort-term ivestmentsAccounts receivable,netAccounts receivable,etPrepaid expensesInventoryPrep aid exp enses

Accounting for InventoryGeneral Motors CorporationGeneral Motors CorporationBalatce Sheet(partal)IncomeStaement(partial)Sales revenueCurrentassets:CashXXX$40.000(2 tucks @ $20,000)Short-termCost of goodssoldXXX30.000iestments(2tucks@$15,000)XXXGrossprofit$10,000AccountsreceivableInventory(l truck$15000@$15,000)XXXPrep aid expenses

Cost of Goods Sold ModelEndingBegiminginventoryinventoryCost ofgoods$20$30availablefor saleCost of$120Purchasesgoods sold$100$90

The Basic Concepts ofInventoryAccounting

The Basic Concepts of Inventory Accounting

Inventory Accounting SystemsPeriodic systems do notkeep acontinuous record ofinventory on handPerpetual systems maintain a ruming recordto show the inventory on hand at all times