企业决策的基础财务会计分册第16版威廉姆斯Chap008.pptVIP

It is expensive and time consuming to take a physical count of inventory. As a result, in interim financial statements, most companies estimate ending inventory and cost of goods sold. Using this estimate helps avoid having to shut down production or close the doors to the business to do a physical count. Let’s look at two methods used to estimate inventory for interim financial statements: the gross profit method and the retail method. When using the gross profit method, follow these three steps. First, determine the Cost of Goods Available for Sale. This can be done using accounting d