4.50/5 stars (494 customer reviews)

Learn the perpetual and periodic methods for recording inventory. Find out how to cost out inventory and record cost of goods sold using the weighted and moving average, FIFO, LIFO and lower of cost or net realizable value (LCNRV) methods. Double-quiz in each section assures that you master it

ISBN:9781938741081
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SKU: 9781938741081 Categories: ,

196 pages [94 self-teaching + 102 self-quizzes with detailed answers]

Section 1: Introduction. What to include in merchandise costs, when and how to record the journal entries. How inventory is reported on the income statement as cost of goods sold and on the balance sheet as ending inventory.

Section 2: The perpetual method. How to compute and record journal entries for purchases (net or gross) . . . sales . . . purchase discounts . . . returns and allowances . . . customer sales returns . . . and inventory shrinkage.

Section 3: The periodic method. How to compute and record journal entries for purchases (net v. gross), sales, discounts, returns and allowances, sales returns, inventory shrinkage and closing out the inventory-related accounts at year end.

Section 4: Weighted average costing. How to compute ending inventory and COGS using weighted average costing (periodic method) and moving average costing (perpetual method).

Section 5: First-in, first-out (FIFO) costing. Clear explanations of FIFO under the perpetual v. periodic method, including how to compute and record purchases, sales, COGS and ending inventory.

Section 6: Last-in, first-out (LIFO) costing. How to compute and record purchases, sales, COGS, ending inventory and LIFO layers. When and how to compute LIFO liquidations.

Section 7: The lower of cost or net realizable value (LCNRV) rule. How to compute and apply LCNRV by item v. group v. total inventory. How to handle purchase commitments that are followed by a decline in the value of inventory, then a recovery.

Publisher: AIPB

Additional information

Book Type

Softcover WorkBook, Online e-WorkBook

Series

Certified Bookkeeper Course Series: Everything you need to study for the national CB exam

  • Complete preparation for the national Certified Bookkeeper exam!
  • Double-quiz in every workbook section assures mastery of every skill!
  • Workbook quiz questions mimic the national exam questions!

 

 

 

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4.5 out of 5 stars

494 reviews

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What others are saying

  1. SLADANA

    I am satisfied with all AIPB books. Very informative and well written.Good to have on hand when I have questions.

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  2. CHRISTOPHER

    Very good book

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  3. MEREDITH

    Overall the book was helpful, but sometimes it was unclear what to do differently between the periodic and perpetual systems.

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  4. EILEEN

    introduced a few new ways to do things and because of that was very interesting

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  5. JAMES

    Good

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  6. DIANE

    very comprehensive.

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  7. RITA

    it was very clear and up to the point.

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  8. CHRISTINA

    Satisfied

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  9. JANICE

    I do not have any job experience with inventory. But reading this book and doing all the exercises is a start.

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  10. MAI

    Great book, very detailed and informative.

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  11. SANJIVANI

    good course

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  12. PETER

    excellent

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  13. REBECCA

    The book was helpful in preparing me for the exam.

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  14. GRACE

    Good material, well organized. An in-depth presentation of inventory costing methods, that goes beyond what a regular Accounting book would cover.

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  15. ANGELA

    Very good course. Very informative.

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  16. LAURA

    Very good book with easy to follow examples.

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  17. EKATERINA

    This course is very simple and easy to understand. I took it as a requirement for the certification. I new inventory from before, but I still enjoyed this course as I feel like my knowledge is more structured now.

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  18. CRAIG

    Simple and straightforward

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  19. JESUS

    Excellent

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  20. KERI

    Very good.

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  21. IRIS

    Excellent. I also remembered a lot from my accounting days.

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  22. RHONDA

    This is a beneficial course to learn various practices to inventory items; and would be highly beneficial for any business (especially small business) desiring to keep more accurate books. This course discusses the GAAP expected to maintain inventory on your books, and pass the CB exam, but I suspect Inventory will continue be a tough area for many. Be careful when taking the final exam and read the questions thoroughly or you could get tripped up. Some questions are not as clear as they could be, so you must choose the better option for some questions. This course is a must for freelance bookkeepers as you’ll likely encounter clients with varying inventory needs… so you’ll need to be versed in all of them! I would fault one particular minor area in this course, and that would be the explanation given regarding freight. But, if you’re familiar with freight practices and bills of lading process/procedures you should be able to extrapolate the desired answers the quiz and final exam are looking for… even without all the details provided. Successful completion of this course counts for significant CPEC’s towards the CB title/certification too!

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  23. ALLISON

    Informative. None of the businesses I’ve worked in, while I’ve been in bookkeeping, have inventory so this was something new for me.

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  24. ROY

    Well written, I will definitely be able to apply what I’ve learned.

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  25. TONYA

    Great.

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  26. TONYA

    Great.

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  27. MEI

    Structural inventory method for easy to study.

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  28. JULIE

    For me this was the most challenging of the 6 courses to become certified. I struggled with it here and there but going through the book a few times and doing all the exercises paid off. I got 100% on my exam and feel I now have a good understanding of the material.

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  29. ALEXANDER

    complicated formulated.

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  30. SANDRA

    Excellent – and I meant to click 5 stars also on the “Correction of Accounting Errors” course

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