객관식
Which of the following is an assumption of cost-volume-profit (CVP) analysis?
180
views
4. Merchandising Operations
Cost of Goods Sold - Perpetual Inventory vs. Periodic Inventory
객관식
In the context of Cost of Goods Sold under perpetual and periodic inventory systems, cost allocation is the process of assigning which types of costs?
A
Depreciation expense on fixed assets
B
The costs of inventory items sold during the period
C
Interest expense on long-term debt
D
Only administrative and selling expenses
검증된 단계별 안내1
Understand the concept of Cost of Goods Sold (COGS): COGS represents the direct costs attributable to the production of goods sold by a company during a specific period. It includes costs such as raw materials, direct labor, and manufacturing overhead directly tied to the production of goods.
Differentiate between perpetual and periodic inventory systems: In a perpetual inventory system, inventory records are updated continuously as transactions occur. In a periodic inventory system, inventory records are updated at the end of an accounting period.
Identify the types of costs included in COGS: The costs allocated to COGS are the costs of inventory items sold during the period. These include the purchase cost of inventory, freight-in costs, and any other costs directly related to acquiring or producing the inventory.
Exclude unrelated costs: Depreciation expense on fixed assets, interest expense on long-term debt, and administrative and selling expenses are not included in COGS. These costs are categorized separately as operating expenses or non-operating expenses.
Apply the correct allocation process: Under both perpetual and periodic systems, the costs of inventory items sold during the period are assigned to COGS. In the perpetual system, this is done in real-time, while in the periodic system, it is calculated at the end of the period using the formula: \( \text{COGS} = \text{Beginning Inventory} + \text{Purchases} - \text{Ending Inventory} \).
관련 영상
관련 실천
