FA27 - Inventory Discounts (2/10, Net 30) EXPLAINED

[@viralchannelusa]

I have recently joined an international MBA and I was completely new to accounting, I used to sit blankly in the classroom and all the students are so fast in class and they answer the questions in class. I used to feel soo tense and one day I left the class in between and started crying hard, then my brother had shown me your videos and asked me to go through them, and here is the miracle, I had fallen in love with your teaching and to my surprise, I have fallen in love with the accounting and now I started answering to the professor questions and to my surprise I became the finance topper.Its a miracle. All these had happened because of you. Donno how to thank you, tony sir. If I get a chance I would really love to come and personally meet you and say big thanks and wish to treat you as well. You made my life so easy.

[@angelaelias5238]

mr bell i literally watch all of ur videos you help me so much with understanding conceptually thank u sm u deserve the world

[@PunmasterSTP]

Inventory discount? More like “I’m so glad these videos are out!” They are very helpful, and thanks again for making all of them.

[@jkjkman1647]

Thanks a lott!! i got embarassed in online class because i didnt understand how the terms work and now i was eable to redeem my self to my teacher becuase of this

[@PunmasterSTP]

I’m glad to hear things turned around! I’m just curious; how did the rest of the class go?

[@therealshimo]

oof

[@dereksmith2569]

Dude is so goated. Taught me everything I need to know for class

[@lenas1281]

THANK YOU MY GOOD SIR. THE GOAT HIMSELF.

[@ChatGPT486]

Thanks for the video. One doubt. Is it not better to credit 400 and 60 to Purchase returns ac and Purchase discounts ac as contra accounts.

[@NaimaKiran-u2w]

Taught me everything I need to know for class

[@PhantomTrill]

you are the best. Helping me understand accounting and helping with my class

[@NweNiWinNweNi-b9r]

Thank you for your learning. teachet

[@susanlam4127]

So helpful, thank you for these!

[@aussie7137]

So at 4:55 do i only credit inventory for 60 because the discount has technically already debited my cash?

[@aussie7137]

4:55 so what do i debit and credit with the 60 discount

[@wingwong2011]

Hi Tony, on 25th Feb, the return is good and can sale it again. Why it is not DR Inventory and CR A/R?

[@Tony-Bell]

These need to be 2 different amounts! Remember, the inventory is at our cost (40), but we refund them our price (100) - so we need to keep the two separate in the entry.

[@jeremy67A]

I'm enrolled at Motlow Community College in an online Accounting class. They contracted with Cengage, which is crap. Cengage's website is a soup sandwich, their ebook has so much fluff and padding it obscures the material. Cengage's online homework, quizzes and test questions have grammatical errors etc... Nobody there is riding shotgun on the content being provided to students. Once they have your money, they don't care. It's garbage. I'm watching your videos just to get thru their class so I'm not out $850. You should get in contract with schools. Your program is well presented and organized and you care about what you do. You'd clean up! $$$ and You'd deserve it!

[@awakenmaster]

Why was feb 21st inventory discount $25 on credit side where as in feb 28 sales discount $28 was on debit side ?

[@brackreif872]

Umm sir I have question how did you get the inventory 40 and COGS 40 on Feb 25 I'm really confused I know its subtracted I just don't know the procedure how you got it I'm really confused

[@rebeccahenry7547]

What would you do with a purchase that also has a trade discount of 25%?

[@Tony-Bell]

DR Inventory for what you PAY for it. So if it was 1,000 but 25% off, DR Inventory 750.

[@bryanl6201]

lol is the cast on your arm from wiping out on the skateboard last video?

[@rashvinderkaur4851]

Could you please tell me how we record these terms of discount(e.g.2/10) while adding invoices and bills in xero?

[@shahdbasaleh9836]

I cant join your channel, it says this content is unavailable for purchase. So what should I do?

[@aussie7137]

Why dont you explain the sales return contra revenue account?

[@vacehoulzz6322]

Why don't you use an allowance account for sales returns? Isn't that necessary? You only debit Sales Returns. From what I have learned one would have to debit the allowance for sales returns account to write it off.

[@LenaSlavova]

So professor, we ALWAYS have to deduct the return from the original cost of the inventory,right?

[@Tony-Bell]

If we make a return, then yes, we will deduct the cost of what was returned from our inventory balance...

[@ismailismaili0071]

I love the video but when we are working on the system it's almost different than this cause as you know making invoices sales returns and inventory purchases are not from the journal entry

[@rattlefate378]

DoESN'T 2/10 MEAN 20% AND 2/100 MEAN 2%?????? IM CONFUSED PLS HELP PROF

[@Tony-Bell]

Here's an explanation: www.myaccountingcourse.com/accounting-dictionary/2-10-n-30

[@emirhandemir3872]

6:06 Maan I've been single for so long that I forgot Feb 14 is Valentine's Day :D

[@glenn_kleinhans7892]

What does net and terms mean

[@yamaan9528]

Hey tony, I was just wondering why is it that you credit inventory when you pay for the inventory purchased like on feb 21, wouldn't you use sales discounts instead?

[@Tony-Bell]

Sales discounts are only for when we make a sale. When we purchase inventory, the inventory needs to go on our books for what we paid, so on Feb 21, We bought 2500 in inventory, but only paid 2475, so we need to adjust the inventory account down to what we paid for it. Hence we reduce it by $25.

[@Consume_Crash]

Good video

[@sadafsohail497]

Thank you 🙏🏼

[@hatrang5143]

Love thissss

[@jeremy67A]

A|P = Accounts Payable

[@furqanattar5746]

Osm

[@furqanattar5746]

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[@amazingmysteriousfactsfa2749]

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