FA 32 - Inventory - FIFO Method FIXED

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Module 7 examines inventory methods of tracking inventory. It explores the differences between FIFO, LIFO and Weighted Average inventory methods. You will learn to prepare inventory records and to record the journal entries related to tracking inventory.

[@ayoubfarhat9444]

Dear Dr. Tony, All people are still waiting the Advanced, Intermediate, forensic, Public accounting courses & Auditing course... We really appreciate your support. No one else like you!! We really need them by you..

[@anasuarez7310]

Thanks for summarizing 2h of reading in 14:06 minutes 🧡.

[@pubgmobileclashroyale4725]

Same

[@prst1gewrldwyd]

Hey Tony, just wanted to reach out and let you know how much of an impact your videos have made in my life. I was a regular of yours for a year while finishing my second accounting course 3 years ago and I still think about how much more I learned from these lectures than at my university. I wish all professors were as passionate and as dedicated as you are. Wish you the best and thank you so much for the time you have spent making these. They really are the hidden gems of KZbin.

[@Tony-Bell]

Thanks Austin :)

[@j.davidmarenco1328]

Sr. You actually are a good professor, and I learn a lot till the first day I saw you video, and till that moment I still watching you, and I wish you could teach some finance class or something like that.

[@muhammadshahidhayatzada7859]

Sir you are the best accounting teacher i have ever seen in youtube. Thank you very much.

[@TooMusicObsessed]

I've been watching these videos ahead of my TRU Intermediate Financial Accounting course as a refresher and they have been so incredibly helpful! In fact, I've been telling everyone about the awesome youtube videos I've been watching. When I saw you in a TRU sweater I was so excited and rechecked my welcome email but I have a different instructor for my OL course (too bad). Thanks for your helpful videos!

[@user-ns7sh3mg9e]

You have saved my life I am so great full that I founds this video you helped out a high school student who was stupid enough to take this class I thank you 🙏🙏🙏🙏

[@user-rd4dv5ll5y]

Thankfully FIFO, LIFO and the rest wasn’t on my final exam, I struggled badly on this topic. I just got my grade back and passed this class.

[@johanserdiroche8590]

I don't know what I would have done without KZbin. I don't understand as much as here in a 1.5 hours class...

[@gbaca07]

May the 20th is my birthday. thanks Tony, amazing job.

[@adhamosama727]

Toney from the future its a brilliant idea 👌😍

[@celimar214]

I just subscribed to your channel and find your videos easy to follow. You make accounting easy. Thanks

[@brandongarber2072]

isnt the gross progit 237.80? There were 13 units sold on the 31st, not 15

[@mesha8630]

I got 237.80 also. Pretty sure he made an error.

[@joowankim1660]

A year late but you are right. Cogs is $112.20 and gross profit is $237.80. 👍

[@arifiqbalkhan4706]

Thank you so much!! I am binging this playlist...

[@dylancampilango5157]

Isn’t the COGS written as 112.60 supposed to be 112.20?

[@peiangxun1774]

Dylan Campilango I think that is 112.2

[@abelt7236]

I also got 112.20

[@sahilkhosla3718]

I also got that

[@districtnerfco.8390]

Pretty sure 112.20 is correct

[@joycoso1453]

same here, igot 112.20 as long as we get the concepts its all good.

[@carolinerose3164]

Another easy video to follow and learn along with. Thank you Mr.Bell! Wondering if you do any tutoring or assignments assistance? Currently working on my last assignment and find myself struggling and stuck.

[@learnwithme2525]

well explained, thank you Sir 👍👍

[@cyrenamedina3516]

THANK YOU, THANK YOU, THANK YOU!! It finally makes sense!

[@BeCuriousPodcast]

Hey Tony, am I wrong that we have to sell 13 units in the last sale instead of 15 units? I just want to know my mistake.

[@Tony-Bell]

You are right! I need to fix this error...

[@Bshiraz]

Hello Mr. Bell. I have been binging your video since yesterday and you are amazing, I have an exam day after tomorrow and have some sections that I need to cover, but don't know if you made a video on said subject or where the video is. I was wondering if you would be able to give me the video number for each subject if you know of them. The subjects are numbered. 1. Defined pension plan elements (balance sheet and income statement components 2. Asset (ROU) treatment, liability treatment and amortization of lessee’s capital lease (balance sheet and income statement components. 3. Bond payable components including amortization of discount or premium, including computation of bond price (balance sheet and income statement components. 4. Ownership and re-pricing of equivalent ownership shares from issuing dilutive preferred stock (balance sheet component. 5. Statement of Cash Flows, operation section. Thank you!

[@galaxyspace8048]

I found Sales Revenue 350 COGS 112.20 Gross Profit 237.80

[@pubgmobileclashroyale4725]

Same with me

[@HA-bd3fb]

Hi Sir, is it important to do the math on the table or we can just do it mentally and skip the table? as in is the table an accounting requirement?

[@dennis8801]

You can probably do it, show your work

[@HA-bd3fb]

@@dennis8801 yeah makes sense we need to show how we got there i guess

[@daynalujan2163]

Hi Tony, could you explain the difference between the inventory costing methods and the LCM? Wouldn’t the inventory costing methods record the inventory on the balance sheet?

[@juancorzo533]

That's a nice shirt you have ! Keep the good job

[@chocymachado]

Hi Tony I just seen your other video about lifo and fifo but couldnt comment but you mentioned you hate lifo and said you would make a video to address why. Do you have that video if not could you tell me please why you dont like it Thanks

[@naturebc]

Hey Tony, I have a question. When you are recording a sales journal do you consider it all one journal when you Credit Sales, Debit AR, Credit Inventory / Debit COGS. Or do you consider this two separate transactions? Does it matter to accountants and auditors? I am building software that will process acounting journals and wondering if I should treat this as one journal or 2 separate journals? Thanks, keep up the good work! I'm not an accountant but your videos work for me tremendously.

[@tkt7775]

You the GOAT 🐐🐐🐐

[@nadinevaessen8707]

Tony Bell my saviour

[@joycemytz]

hi, i don’t know if you’ll see this comment but if you do by any chance. can you please make a video about "overstated" and "understated". i just can’t wrap my head around it. thanks in advance!

[@kirumeacc]

Please make more videos on Intermediate to advanced accounting courses!!!

[@Tony-Bell]

Perhaps some day, but it won't be for at least another year (very busy at my day job!) So happy for the request :)

[@annelias4378]

Tony - you are a hoot!!

[@samhigdon979]

Hey Tony, love ur video I was wondering where the 9.75 came from?

[@dennis8801]

I love Tony Bell

[@UrCristiano-x8v]

Sir, you dont have join button and the link does not work for me.

[@gvoroxana6740]

So actually point c), for May31 the COGS is 45,7 instead of 53,10 , right? Thank you for your work and effort with this videos you really help us a lot :x.

[@Tony-Bell]

Correct! And thanks :)

[@BR.ssjwjjwfjfieiwwkwisjwjwjwds]

Thank you, sir!

[@vkrgfan]

The inventory balance is a bit confusing since the same record duplicates.

[@gbaca07]

13:34 tony where are you getting the 45.70?

[@Tony-Bell]

Sorry - I gotta redo this video - 7:45 is where that gets explained - but it's just too confusing. So to answer your question: 9.75+24.85+11.10

[@LenaSlavova]

Hi Tony,okay so i got that under prepetual systme we record additions in inventory and in periodic we record them in purchases but whats the difference? How does it affect FIFO and the weighted average ? I watched your vidoes and did some research i still cant understand the difference in calculations the two systems

[@Tony-Bell]

The big difference is when we sell - under perpetual: DR Cash, CR Sales rev, DR COGS, CR inventory. Under periodic, DR Cash, CR Sales rev. And that's it. At then end of the month (or when you count the inventory), DR COGS, CR Inventory, to adjust to the count. If everything is going well at your business, there won't be a difference at the end of the month, just a timing difference as to when you record the COGS (When the sale happened vs when the inventory count happened). The Periodic method is old fashioned and WORSE in my opinion. The reason is simple. Perpetual gives you up-to-date inventory records, periodic doesn't. Why does periodic exist if it's worse? It's much easier to do if you don't have a fancy computerized inventory system.

[@kshitizgupta1741]

Sir u are great

[@nehasolanky5043]

Ghanshu likes your videos Tony

[@ireneadegbola9886]

There is an error on this video. In May 31. total sales were 13 and not 15. You calculated for 15 products sold. The last entry is supposed to be 3 and not 5

[@Tony-Bell]

You are correct! I do mention this at 7:41, but one of these days I just need to make a new video as my edit causes confusion!

[@oskarwostowski6419]

cogs are 119.6

[@RobustCarrotFarmer]

bless your soul

[@Helloshki25]

Tony from future 😂👍

[@SharanSalwahan-em7cs]

Thank u so much sir

[@pacificreef6391]

Yeah, I almost yell at my computer when you suddenly appear in the future...

[@titi9143]

How are we suppose to know The solutions for the problems ?

[@sanketmohanty]

Nice video

[@LenaSlavova]

Hi professor, could you help me with one homework accounting problem?

[@Tony-Bell]

Hi Lena, I'm sorry, I'm not able to help with student assignments.

[@lolitalolita3472]

Hi Tony, tried to download the template, it doesnt open unfortunately :(

[@Tony-Bell]

Try this link: www.dropbox.com/s/wro3m3u4ycsttja/accounting_workbook_inventory_template%20%281%29.xlsx?dl=0

[@lolitalolita3472]

@@Tony-Bell Thank you so much for sharing and for the quick response.

[@leylaisgandarova4001]

THX!!!