INVENTORY & COST OF GOODS SOLD

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  • Опубліковано 28 лис 2024

КОМЕНТАРІ • 518

  • @AccountingStuff
    @AccountingStuff  5 років тому +66

    Hey there, it's been a while! I'll link to the playlist in the description once I've released the rest of the Inventory Mini-Series. Here are the timestamps for those who'd like to jump ahead...
    00:55 - Manufacturing vs Merchandising Businesses
    01:23 - Inventory in a Manufacturing Business
    01:36 - Inventory in a Merchandising Business
    02:12 - Why Inventory is an Asset
    02:29 - Inventory Worked Example - Question
    03:22 - Inventory Worked Example - Solution
    08:41 - Recap

    • @ikekeonwu
      @ikekeonwu 5 років тому +1

      Welcome back!

    • @AccountingStuff
      @AccountingStuff  5 років тому +1

      @@ikekeonwu Cheers!

    • @PlumbusPete
      @PlumbusPete 5 років тому +1

      Question is accounting your career or something

    • @AccountingStuff
      @AccountingStuff  5 років тому +1

      @@PlumbusPete It is

    • @Frozan
      @Frozan 4 роки тому

      You're legend thanks alot 😉

  • @liviakaral7665
    @liviakaral7665 3 роки тому +171

    The fact that I don't even read the book for my classes anymore, I just watch your videos and take notes. What my professor spends two to three 4 hour lectures explaining in a boring way, you manage to do in a blip! You're my saviour.

    • @AccountingStuff
      @AccountingStuff  3 роки тому +18

      Great to hear you're finding these useful! All the best with your studies :)

  • @pranavpugaonkar6674
    @pranavpugaonkar6674 4 роки тому +142

    This guy deserves an award for his video editing!!!

    • @AccountingStuff
      @AccountingStuff  4 роки тому +15

      Thanks Pranav! The edit takes a long time to put together

    • @pranavpugaonkar6674
      @pranavpugaonkar6674 4 роки тому +10

      @@AccountingStuff and you might be wondering why I recently looked up your videos, well I aced my finals with your amazing videos as its a fun learning experience!
      No words to thank you!

    • @AccountingStuff
      @AccountingStuff  4 роки тому +9

      @@pranavpugaonkar6674 Nice one!! That's great to hear!

  • @abigail5414
    @abigail5414 5 років тому +126

    You’re a life saver! We’re covering this in my accounting class and I didn’t understand it! Thank you so so much! Don’t stop uploading! All us undergrad students thank you!

    • @AccountingStuff
      @AccountingStuff  5 років тому +7

      Hey Abigail, hope it makes sense now. And thanks, I plan to release a lot more videos

  • @matthewmorones6468
    @matthewmorones6468 2 роки тому +13

    I am halfway through the basics playlist and I cannot stress how great you are at explaining topics. Im doing my MBA right now and I cant force myself to read dozens of pages a day on accounting but these videos are so effective that I can learn so much and retain the information. I tell everyone in my class how helpful these videos are and now most of the class uses DEALER lol. I am very grateful you put this series together, thank you!

  • @brianafofanna
    @brianafofanna 5 років тому +61

    You are the sole reason I am passing my financial accounting class. Also, your cheat sheets are GOLD. Thank you!

    • @AccountingStuff
      @AccountingStuff  5 років тому +4

      Congrats Briana! Great to hear it's going well for you

    • @samangul8768
      @samangul8768 4 роки тому

      Agreed....with no bck ground in accounting, so many of my concepts hv cleared up.

  • @yoselincarballo3498
    @yoselincarballo3498 9 місяців тому +3

    You are the only reason Im doing well in my accounting class. I’ve purchased the cheat sheets and A&Q packs, they are so helpful!! Keep the videos coming 😄

    • @AccountingStuff
      @AccountingStuff  9 місяців тому

      Thanks for your support! Best of luck in your classes

  • @mariapineappe9409
    @mariapineappe9409 2 роки тому +14

    Everyone says accounting is so easy but I find it really confusing at times, if it weren't for your videos I would be failing my classes. Thank you so much!!

  • @misscam2005
    @misscam2005 5 років тому +12

    you singlehandedly save my accounting grade with these videos

    • @AccountingStuff
      @AccountingStuff  5 років тому

      Great, glad you found them useful. Good luck!

  • @eamonnca1
    @eamonnca1 4 роки тому +2

    Each one of these 10-minute videos is a lot clearer than the equivalent hour it takes our professor with a PhD to explain it.

  • @inaamazeezur-rahman6950
    @inaamazeezur-rahman6950 4 роки тому +8

    I have this competition in a week and I've been watching all your vids. It's been saving me, without it I would've been doomed. You make it all look so simple. Thanks!

  • @MrJordanK
    @MrJordanK 3 роки тому +2

    You explain these topics better than anyone else! Now I just need manufacturing inventory broken down and explained. Thanks!

    • @AccountingStuff
      @AccountingStuff  3 роки тому +1

      Thanks Jordan! I plan to cover that at some point

  • @jackmurphy1729
    @jackmurphy1729 4 роки тому +5

    Entertaining, informative and not over complicated. This guy James is really stepping up the standard when it comes to these type of educational videos :)

  • @Daniel-ib1hm
    @Daniel-ib1hm 2 роки тому +1

    Still saving saving students years later! Thanks man!

  • @roslynpaige4442
    @roslynpaige4442 Рік тому +2

    You saved my sanity!!!!!!! I dread this accounting class but actually you help me understand it in a simple way. Why do they have to teach in such a lame confusing way.

  • @farruh.gudiev
    @farruh.gudiev 3 роки тому

    O MY GOD! I have never seen anybody who can explain all this accounting stuff so clearly, so simply so understanable. I am studing ACCA FA, and each time I dont understand smth I am searching for your vision of that topic. THANK YOU VERY MUCH!!!!!! If I would get F3 and become rich ( 1000$ per month means rich in my country ) , I will find you to say thank you personally ❤

  • @alexsammy255
    @alexsammy255 3 роки тому +1

    I like the way he makes it simple for us beginners or learners to understand...And the way he takes his time to like and reply to every comment....

  • @Theellawokoma
    @Theellawokoma 4 роки тому +3

    been having a difficult time understanding accounting cause I was forced to study it in the university, I had really bad grades and all but that was wayyyy before I stumbled on your channel ive never been so happy about my performance'and its all thanks to James.
    You make a wonderful teacher. Job well done!

    • @AccountingStuff
      @AccountingStuff  4 роки тому +2

      No worries Manuela! I'm sorry to hear that you've been having a difficult time with accounting. Great to hear that things are taking a turn for the better!

  • @ilahababai1057
    @ilahababai1057 5 років тому +4

    Thank you so much! I am going to apply for the accounting position in the company that I have been dreaming of, and your videos help me to prepare for their exams! Thanks for helping people to achieve their goals!

    • @AccountingStuff
      @AccountingStuff  5 років тому

      No worries Ilaha, good luck with your application. Hope you get the job!

  • @emmaasta9519
    @emmaasta9519 3 роки тому +1

    Your videos are SAVING my life in my financial accounting class. You break it down in an understandable way and the edits make the content much more engaging. Thank you!

    • @AccountingStuff
      @AccountingStuff  3 роки тому

      Thanks Emma! Glad you're finding these helpful. All the best in your studies :)

  • @gogopopole
    @gogopopole 5 років тому +11

    Thank you, James! I'm so happy you're back!!!!

    • @AccountingStuff
      @AccountingStuff  5 років тому +1

      Cheers Mariyana, it's good to be back. All the best!

  • @emilymaes4060
    @emilymaes4060 2 роки тому +1

    You're going to be the reason I pass my accounting exam tomorrow (I really hope I do!) Its been so hard to teach myself (my professor isn't very good.)

  • @yuyue9021
    @yuyue9021 2 роки тому +1

    So grateful for your videos, helping reduce lots of time and energy that textbook

  • @nataliadeja69
    @nataliadeja69 3 роки тому

    this explanation is just pure gold - I swear I understood nothing from my lecturer’s presentation, and after watching this video + the one about perpetual and periodic inventory I have no problem with my accounting exercises - they became fun haha! Huge thank you!!
    (sorry for spamming with comments but im right before my exams and im just absolutely loving your content!)

    • @AccountingStuff
      @AccountingStuff  3 роки тому +1

      Great to hear it's making sense. Best of luck in your exams!!

    • @nataliadeja69
      @nataliadeja69 3 роки тому

      @@AccountingStuff I got everything correct at my accounting exam! Huge thank you❤️

    • @AccountingStuff
      @AccountingStuff  3 роки тому +1

      @@nataliadeja69 Congrats 🔥

  • @omardiaz9066
    @omardiaz9066 4 роки тому +1

    Hey man i wanna personally thank you for making this content. It's been near 3 years since i last took accounting principal classes and given ill be taking intermediate accounting this fall for my BA i needed this to refreshen my memory so i can be at my best and not be too clueless when Fall starts. thank you amigo

  • @mohamedjamacmohamed1339
    @mohamedjamacmohamed1339 3 роки тому +1

    Thanks teacher for being persuasive accounting knowledge to my brain I salute you from somalia.🇸🇴🇸🇴🇸🇴🇸🇴♥️

  • @jakefromstatefarm2991
    @jakefromstatefarm2991 3 роки тому

    I'm starting intermediate accounting in a few days at uni, and these inventory videos definitely helped refresh my memory! Awesome job, I also purchased your cheat sheets! Your channel saved me!

  • @timothywabwire2779
    @timothywabwire2779 Рік тому

    The way you explain it makes me understand so easily..thank you....

  • @heatherwoods296
    @heatherwoods296 8 місяців тому

    Thank you for making these videos!! I've gone back to school in my late 40's and I find your videos the easiest to understand compared to the others my school suggests watching to assist learning in our online class. Now to buy your cheat sheets :) Keep up the great work!

    • @AccountingStuff
      @AccountingStuff  8 місяців тому

      Thanks Heather and cheers for your support!

  • @pamcoacheshumans
    @pamcoacheshumans 3 роки тому

    James: The Accounting Superhero no one knew we needed! Thank you for making accounting make cents =P

  • @gogohahayo
    @gogohahayo 4 роки тому

    It's just such a big help for anyone who wants to learn accounting. You made it so easier and visual to understand. Thank you so much.

  • @dianamaesabal6300
    @dianamaesabal6300 4 роки тому +1

    I really learn a lot of his videos, it is not boring because you will be entertained by all the amazing edits. Thank you for this🥰🥰

    • @AccountingStuff
      @AccountingStuff  4 роки тому +1

      No worries Diana, all the best with your studies!

  • @jaretwilliams2564
    @jaretwilliams2564 4 роки тому

    legendary accounting channel

  • @Islamedics
    @Islamedics 3 роки тому +1

    Your videos are very easy to understand, and very helpful. direct and to the point. You are truly skilled in the art of explaining!
    Many thanks :)

  • @faresourtrex4069
    @faresourtrex4069 2 роки тому +1

    You just made an Egyptian collage boy's life a lot easier. thank you

  • @Michaellc7
    @Michaellc7 5 років тому

    Hello James,
    I hope you are doing well!
    I'd just like to thank you for your videos!
    I've worked in the Financial/Accounting department (in the last one since last year) for 8 years, and I'm an accounting student trying to become an accountant.
    I'm from Brazil and I speak Portuguese, but I've been trying to learn English and with your videos I could merge the two things, practicing my English and learning vocabulary about Accounting.
    Just thank you!
    Your videos were great and very explanatory, congratulations!

    • @AccountingStuff
      @AccountingStuff  5 років тому

      Thanks Michael! It must be tough learning accounting in your second language. Good luck! I hope it works out for you

  • @erinstevens-y5k
    @erinstevens-y5k Рік тому

    I was working on an accounting project for classwork and realized the one thing that just was not balancing was inventory and cogs. Thanks for saving my project lol. Accounting is such a dry read but it's easier to see a video explanation.

  • @mwangalamumbula7030
    @mwangalamumbula7030 Рік тому

    Great lesson James! The accounting entries for COGS are now clear. Thanks!

  • @bas_en
    @bas_en 11 місяців тому

    This, sir, is a masterpiece.

  • @amralsabban3533
    @amralsabban3533 2 роки тому

    Thanks, I am learning a lot from your all videos. May God reward you

  • @shankargupta5893
    @shankargupta5893 10 місяців тому

    Hey James, have been watching your videos for many doubts and I'd say it's absolutely amazing to rely on you for different things. We use IND AS here instead of IFRS in the case of corporates dealing with regional transactions but IND AS has so many similarities with IFRS and there's some different of just terminology that's all. For example we use traditional norms with modern ones so we treat account payables as creditor's A/C and vice versa. Even in making of the financial statements we have trading account although not much different since it's a specific account for clarification including sales and purchases and costs incurred ( depends on manufacturing unit ) which lets us find gross profit/loss then operating expenses and revenue as you described after used for net profit including taxes in it only.

  • @elahmedi24
    @elahmedi24 3 роки тому

    feeling safe while understanding big things! how fun your teaching method is, thanks alot.

  • @Bayushimoju
    @Bayushimoju Рік тому

    Man, you're a life saver. One question for you: How does the purchase ledger transactions get recorded if the purchase journals are just Dr Inventory Cr Accounts payable? I would have thought it would be something like Dr Purchases Cr Accounts payable

  • @tthinh253
    @tthinh253 Рік тому

    I missed my class when my professor illustrated this topic. Thanks for your videos and I am considering skipping my accounting class and just watching your videos.

  • @phuuvan2858
    @phuuvan2858 Рік тому

    greatful and interested in the way he simplify the small difference between manufacturing and merchandising

    • @AccountingStuff
      @AccountingStuff  Рік тому +1

      I need to do a video on manufacturing at some point too

  • @dalalhassan9285
    @dalalhassan9285 2 роки тому

    You are definitely going to heaven for this , thank you so much

  • @fratboyfaith
    @fratboyfaith 4 роки тому

    hiya James :) just wanted to say i especially liked the music starting at 2:51, it was really relaxing and made it way easier for me to focus (not to say anything is distracting, it just improved my learning!) keep up the great work xx

  • @SamYoumansS6R16Y
    @SamYoumansS6R16Y 5 років тому

    I'm very happy you posted! We just finished the chapters on merchandising businesses and inventory management, but this is a great review for me and I will refer struggling classmates to this!

    • @AccountingStuff
      @AccountingStuff  5 років тому

      Perfect timing! Cheers Sam, hope all's good with you

  • @bayonlekorede9482
    @bayonlekorede9482 5 років тому

    You are such an accounting genius. Your class is very effective. Thanks man👍

  • @caylynduff1996
    @caylynduff1996 3 роки тому

    Carrying me through my undergrad. Thanks for all your help!

  • @fahedalyafiy6215
    @fahedalyafiy6215 Рік тому

    thank for all of your efforts man , you are a real hero

  • @rinledesma6137
    @rinledesma6137 6 місяців тому

    THANK YOU FOR EXISTING 💋!!!! 😭😭😭💗💗 WAAAA.
    I think your channel is made FOR ME!!!

    • @AccountingStuff
      @AccountingStuff  6 місяців тому

      Great to hear you're enjoying the channel!

  • @joanl.7543
    @joanl.7543 4 роки тому

    This was a great, clear explanation. It was very effective in giving me the big picture, not just the procedure.

  • @AbdulQadir-gf5nv
    @AbdulQadir-gf5nv 3 роки тому +2

    Hello brother, actually u deserve more than ur expectations! Thanks for such creative sample informative videos to summarise basics concepts of accounting 👍🏼

  • @annazhuravleva9597
    @annazhuravleva9597 Рік тому

    Thank you for your videos! They are so helpful and clear! Helps me prepare for a job interview. Thanks!

  • @simonaligny543
    @simonaligny543 4 роки тому

    thanks for all your tutorials you're a life saver!

  • @Richard.Handley
    @Richard.Handley 4 роки тому

    So grateful for this! Super helpful during my MBA.

  • @stevemiguel6848
    @stevemiguel6848 3 роки тому

    You sir, are a life saver. Everything makes sense now in this chapter! Thank you!

  • @jrramos108
    @jrramos108 2 роки тому

    So grateful for these videos! thank you!

  • @janbrandl9509
    @janbrandl9509 Рік тому

    Beautifully put together !

  • @sarim1967
    @sarim1967 5 років тому

    YO THIS IS THE CHAPTER I WAS ON AND I LOOKED UP IF YOU MADE A VIDEO ON IT 2 DAYS AGO AND THIS JUST CAME ON MY FEED ! (ICAEW Student!)

  • @akiba7858
    @akiba7858 3 роки тому

    Thanks bro! Preparing myself to handle bookkeeping for our family business then I encounter your accounting series. Really a lifesaver, i'm about to be done in a few more videos! Cheers bro! God bless in these troubled times. Happy holidays!

    • @AccountingStuff
      @AccountingStuff  3 роки тому +1

      Hey there, best of luck with doing the bookkeeping!

  • @lisapownall4753
    @lisapownall4753 4 роки тому

    LOL....toques! Love all the humour in your videos; makes it so much easier to learn!

  • @mikhilpanday2393
    @mikhilpanday2393 2 роки тому +1

    Hey there, thank you for all the help with these topics, may I ask what video editor u use?

  • @ivebeenwatchingthemoon
    @ivebeenwatchingthemoon 3 роки тому

    You are an accounting god

  • @andromalius9595
    @andromalius9595 3 роки тому

    What a Legend. Thanks man

  • @ardhanyocto8168
    @ardhanyocto8168 5 років тому

    Please keep making video like this.. love to watch it! I can't find any other intersting accounting channel

    • @AccountingStuff
      @AccountingStuff  5 років тому

      Thanks Ardhany, I plan to make many more just like it

  • @guitar300k
    @guitar300k Рік тому

    thanks, looking for this exactly, everybody talking about credit inventory debit cash, but didn't mention about where the inventory go

  • @Cris-hk4cn
    @Cris-hk4cn 2 роки тому

    This was an excellent presentation.

  • @ahsanshaikh3108
    @ahsanshaikh3108 4 роки тому

    Wonderful explanation of cogs you should have atleast 1m views on this video thanks

  • @lydiathornton7914
    @lydiathornton7914 5 років тому +1

    Hi! Welcome back! You were truly missed. Let's get to work!!!!! 😊😜

  • @almaellemann4078
    @almaellemann4078 8 місяців тому +1

    Hello, thank you so much, I just don’t understand why you are putting 3 in retained earnings ?

  • @sabrinabueno665
    @sabrinabueno665 4 роки тому

    Yeyyyy!!! Happy to see you again!!!!!!!!!!!!!!!!

  • @rsandykumar
    @rsandykumar 5 років тому +1

    I have found another interest watching your videos. Thanks!😁

    • @AccountingStuff
      @AccountingStuff  5 років тому

      You are very welcome! Great to hear that you're getting into the subject

  • @TaipingBao
    @TaipingBao 2 роки тому

    Hello James, thanks for sharing the topic on Inventory! It's very clear and easy to understand! May I know will you be making a video on Inventory in a Manufacturing Business as well?

  • @amcdonal86VT
    @amcdonal86VT 3 роки тому

    Wow, this really helped me understand all of this. And I now know how the word "toque"
    I am starting an e-commerce business and was confused how if I purchase inventory, and then don't do anything until it sells, the value of the inventory will go in a black hole and kill my balance sheet.

    • @AccountingStuff
      @AccountingStuff  3 роки тому +1

      Cheers, glad it's making sense. Best of luck with your new business!

  • @isainayrichardson2920
    @isainayrichardson2920 5 років тому

    I am a sophomore majoring in accounting and I was really struggling but your videos have helped me sooo much. Will you be doing videos and selling templates of tips for financial statements such as the income statement etc.?

    • @isainayrichardson2920
      @isainayrichardson2920 5 років тому

      Disregard that last comment I just saw your financial statements playlist 🙌🏾😂

    • @AccountingStuff
      @AccountingStuff  5 років тому

      @@isainayrichardson2920 No worries!

  • @dseaw810
    @dseaw810 5 років тому

    Woot. Thanks for coming back.

  • @marthadelossantos3918
    @marthadelossantos3918 3 роки тому

    Nice and digestible explanation!!! I like the way you teach us Accounting: Which I LOVE💯Take care, GBY👏💯

  • @BryanMuzumi
    @BryanMuzumi 4 місяці тому

    ❤Amazing,thanks for making it all come together,was making my head spin

  • @baharheravy5134
    @baharheravy5134 5 років тому

    Glad you are back, James! :)

  • @jaypdaricayos8354
    @jaypdaricayos8354 2 роки тому

    hey man you are the best u saved me in this lesson thank youu!!!!!!

  • @CynthiaLouann
    @CynthiaLouann 2 роки тому

    I love your channel you explain it so well THANK YOU

  • @phawattiraputra293
    @phawattiraputra293 2 роки тому

    Thank you so much
    Just 1 hour away from midterm exam

  • @henysenon5432
    @henysenon5432 3 роки тому

    I'm struggling in my course and this really help me

  • @duonghuynh5531
    @duonghuynh5531 3 роки тому

    This video is so much helpful! Good work! Hope to see more videos from you! Greeting from Australia !

  • @dgupta9640
    @dgupta9640 5 років тому +1

    After a long time ... Was waiting eagerly for your videos thank you

    • @AccountingStuff
      @AccountingStuff  5 років тому +1

      Thanks for your patience, there are many more vids coming soon!

  • @Credinellatuastoria
    @Credinellatuastoria 5 років тому

    Welcome back James! Great video as always!

  • @ashrafkamal2011
    @ashrafkamal2011 2 роки тому

    we need more video's pertaining to service companies

  • @makiyashoukat8807
    @makiyashoukat8807 3 роки тому

    plz make video series on the provision of bad depts and try to cover all topics because you are amazing👍👍

  • @jasmine-qf9hl
    @jasmine-qf9hl 4 роки тому

    Thank you so much! I feel like I am one with accounting because of this video.

  • @syoxithe2702
    @syoxithe2702 5 років тому +2

    Thank you so much for making these videos!! It helps me out a lot! Could you do a video explaining consolidated financial statements? And also how to calculate goodwill and non-controlling interests?

    • @AccountingStuff
      @AccountingStuff  5 років тому

      No worries Joyi, thanks for your suggestions!

  • @lindamassey887
    @lindamassey887 3 роки тому

    Thank you , clear precise and easy to understand the full picture
    I am looking for info on how purchase returns and sales returns affects the inventory account,,,

  • @sumanasaji3776
    @sumanasaji3776 14 днів тому +1

    Can you explain why the cost of goods sold relies on the value of inventory in an accounting period.

    • @AccountingStuff
      @AccountingStuff  13 днів тому

      Cost of Goods Sold (COGS) relies on the value of inventory because it represents the cost of inventory that has been sold during an accounting period. When the Inventory is sold, the Asset (from the Balance Sheet) becomes and Expense (on the Income Statement)

  • @successmanifestation6934
    @successmanifestation6934 8 місяців тому +1

    pls.. james you are so great teacher of accounting on the youtube but you just make videos on the financial accounting branch of accounting can't you pls🤌make an videos on other branches of accounting such as on cost accounting, managerial accounting and other they all are broad topics in their own.. so pls🙏 i request you to also cover these topics...

  • @shericeskreativlane
    @shericeskreativlane 2 роки тому

    Great video, I started a small craft business. I had been buying inventory here and there before I started my business. I did not purchase my inventory products wholesale because the business hadn't started until about 2 years later.. Will this be a problem when I file my taxes?

  • @autumnautumn7057
    @autumnautumn7057 5 років тому

    Thank you for making this requested video! I really appreciate your time and effort you put into it

  • @alejo447
    @alejo447 Рік тому

    Bruh Such a good video... Keep up the good work

  • @michaelbender2803
    @michaelbender2803 9 місяців тому

    Thanks for these videos! I think you mentioned doing one of these for manufacturing businesses that make product and then sell it to end customers and wholesalers, but I can't find those videos. Can you point me to them or can you make some?

  • @zanderhuynh7998
    @zanderhuynh7998 Рік тому

    Loves your videos. Really deep accounting! I usually have to watch them again and again, but a lot useful information. Please verify this question for me:
    For cash accounting, can I write off ALL on my product expenses as COGS as soon I pay for it regardless when I sold the item?
    For inventory shrinkage , I can write off as GOGS or I have to deduct it from GOGS?
    Thanks!