Hi! Thanks for explaining this, i'm totally understand now. But i have a questions. How about if there's a purchase discount and return in the transactions? Do they affect the cost of goods sold and cost of the ending inventory? Thanks in advance 😊
You do an inventory count and whatever you have in your inventory at that time is your ‘ending inventory’. Sometimes it is lower than you expect because things get broken or stolen...
Under the periodic method we are concerned with how many are left in ending inventory and we work backwards to determine COGS. In a perfect world the amount we sold would equal what was missing from the business.... but usually not the case! Determine what is in ending inventory.... EVERYTHING else is considered cost of goods sold.
Look at the calculation of COGS, not the sales. Ignore sales for your costing calculations under the periodic method. Beginning inventory + purchases = cost of goods available for sale - ending inventory = cost of goods sold
Although I'm trying to figure out how you figure out you'd need a 1375 in 2:30, this was very concise and appreciate you sticking to the topic at hand.
Bless you! I was trying to figure out how to calculate ending inventory for a similar problem and now I get it! Thank you!
I didnt get one thing that is if sale units were 600+750=1350 which is the units of sale then why u calculate 1375 units cost of good sold..🤔
Same feelings here. Heheh
very good. Very clear. I like the way that you used the same numbers for all your examples in your other videos too.
This was explained way much detailed and simpler than my teacher, thanks!
Glad it was helpful!
You are a life saver thank you so much. very quick and concise. Gonna go watch the Lifo video now
Thank you for the very insightful video
Hi! Thanks for explaining this, i'm totally understand now. But i have a questions. How about if there's a purchase discount and return in the transactions? Do they affect the cost of goods sold and cost of the ending inventory? Thanks in advance 😊
you deserve a million likes, beautifully explained!
HI Brandy, you did a great job of explaining this and you're adorable to boot!
You are the angel in Accouts, Thanks Madam!
It helps alot! Thankyou so much🤗 With your explanation it's so much easier
is there any way to know when to use the periodic system or perpetual system when asked a general question for fifo?
Ask your instructor how they will word the question. I always tell students which to use… no need to trick anyone ;)
WOW thank you! this was very clear and easy to learn
Can you please tell me how you came up with 575 units of inventory for EOM? I am over 25 units. Thank you
You do an inventory count and whatever you have in your inventory at that time is your ‘ending inventory’. Sometimes it is lower than you expect because things get broken or stolen...
@@BrandyDudas gotcha. Thanks!
You did a great job, thank you for explaining it so simple
Can you please tell me why you multiply 125 remaining unit to $4 why you take 4 as $
Know um interested and motivated to do more thank youuuu
Best ...Thank u so much for making my life easy
Brandy thank you so much. Your example helped me soooooo much to understand.
Also, do you have a video about Inventory costing - LIFO Periodic?
We don’t use LIFO in Canada so I haven’t made a video on it
What if we don't have the info of how much inventory remains
125 x 4.00? How?
Same question?
And how about the gross profit can you compute a gross profit 🙏
THNAK YOU OMG this was very helpful!!!
Great experience with this presentation was well explain.
Is it wrong if we use 1350 as sales for distribution ? We will need 25 more..does it get the same results ?
Under the periodic method we are concerned with how many are left in ending inventory and we work backwards to determine COGS. In a perfect world the amount we sold would equal what was missing from the business.... but usually not the case! Determine what is in ending inventory.... EVERYTHING else is considered cost of goods sold.
Thanks so much. Much simpler. ❤️ Subscribed
You save my life! Thank you so much!
Pam Beasley is an accountant??
Gracias! Thanks for taking your time to explain!!
Your welcome! I hope it helped :)
But what happens if the Ending is not stated though...
this is gold!
Thank you, Ma'am! You have explained it well. 💜💜💜
How did you know you would need a 1375? in 2:30
Farah looks like 1350 no?
Thinking same thing-glad to know I'm not the only one... :)
Look at the calculation of COGS, not the sales. Ignore sales for your costing calculations under the periodic method. Beginning inventory + purchases = cost of goods available for sale - ending inventory = cost of goods sold
How did yu get 575
Although I'm trying to figure out how you figure out you'd need a 1375 in 2:30, this was very concise and appreciate you sticking to the topic at hand.
Go back to 1:30 on the video -> 1,950 available units total - 575 units in ending inventory = 1,375 COGS (in units)
Great video
Amazing! Beautiful! Life Saving! Perioddddddd
I hope this helped! Has your school gone online?
Okay this actually helped thank you
❤️
where did you get 575?
it is given to you (part of the question)
coolmanhee yeeep
Hey can you do one on lifo please and avco?
Average cost is on there! LIFO isn’t allowed in Canada (where I am) so I don’t have a vid on it
@@BrandyDudas ok thank you
Very helpful teacher (:
Awesome video
THANK YOU SOOOOOO MUCH
Thanks a bunch
Love it
Thank you so much
Thank you !!
Best
I LOVE YOU
Confused!!