《零售业概述》（英文版） Chapter 16 Inventory Valuation

Financia Merchant Manag ement Chapter 16

Chapter 16

Objectives To Describe Major Aspects of Financial Merchandise planning and management To Explain the Cost and retail methods of Accounting To Examine Alternative Methods of Inventory Control To Integrate Dollar and Unit Merchandising Control Concepts

• To Describe Major Aspects of Financial Merchandise Planning and Management • To Explain the Cost and Retail Methods of Accounting • To Examine Alternative Methods of Inventory Control • To Integrate Dollar and Unit Merchandising Control Concepts

Financial Merchandise Management Dollar control Unit Control

• Dollar Control • Unit Control

Inventory Valuation Merchandise available for sale Cost of Goods Sold(coGs) Gross Profit · Net profit

• Merchandise Available for Sale • Cost of Goods Sold (COGS) • Gross Profit • Net Profit

Inventory Accounting Systems Retail Methods Cost Accounting System

• Retail Methods • Cost Accounting System

Cost Method Physical Inventory System Book Inventory( Perpetual) FIFO LIFO

• Physical Inventory System • Book Inventory (Perpetual) – FIFO – LIFO

Retail Method Calculate Cost Complement Calculate Deductions from retail value Convert Retail Inventory Value to Cost

• Calculate Cost Complement • Calculate Deductions from Retail Value • Convert Retail Inventory Value to Cost

Merchandise Forecasting and Budgeting Process Designating Control Units Sales Forecasting Inventory-Level Planning Reduction Planning Planning Purchases Planning Profit Margins

Planning Purchases Planning Profit Margins Reduction Planning Inventory-Level Planning Sales Forecasting Designating Control Units

Merchandise Forecasting and Budgeting Process 1. Departmentwide Classification 2. Classifications Within Departments Designating Control Units 3. Price Line classifications 4. Standard merchandise classifications

Designating Control Units 1. Departmentwide Classification 2. Classifications Within Departments 3. Price Line Classifications 4. Standard Merchandise Classifications

Merchandise Forecasting and Budgeting Process 1. External Factor Evaluation Sales Forecasting 2. Internal Factor Evaluation 3. Seasonality

Sales Forecasting 1. External Factor Evaluation 2. Internal Factor Evaluation 3. Seasonality