Inventory Systems: Perpetual vs Periodic

[@jonnymanmac8426]

Genuinely infuriating that this guy can explain a topic better in a 12 minute video than an actual lecturer you pay for can in a 2 hour lecture

[@skye-chor]

exactly. I've been so frustrated after every accounting lectures lol

[@thedog5k]

Guy works hard to creatively create a easily digestible way of understanding concepts. Lecturers just monologue at you for hours.

[@anthonygrimes1075]

I've started coming to this channel before my textbook

[@lucynaivalu8673]

You can say that again

[@AbdullahMeraj-mq8hw]

So damnnnnnnnn true

[@Hefty_Joe]

I go to college; in class I could literally sit and take notes and pay attention for an hour and I'll feel so lost. After i watch your videos i feel so much better and actually understand how you teach things. I would be failing my class if you didnt make videos. no joke

[@TylerCarroll]

Same!

[@sadmanprangon4425]

I'm a student from Bangladesh, as schools are closed due to Covid-19 and lockdown imposed by the government; It's hard to study everything on my own. So I was searching on KZbin for Accounting Contents but there is a dearth of quality content. That's when I found your channel! Your contents are so good, thanks a lot. It's depressing to see such a first-rate channel with so low number of subscribers :( Please continue to make these videos... And thanks again Mr. Superaccountant!

[@AccountingStuff]

Hey there! Sorry to hear that you're still in lockdown. Hope you're keep safe & well :)

[@Potencyfunction]

Do you have free school in Bangladesh or do you need to pay fees for school, have a job for maintaing a rent and uitility bills and food and rest of cost of living? Do you need to loan money from the Gouverment in case you dont have a job to substitute your costs of living? Or do you can work online free and live out in the streets?

[@CKBREEZY7]

James needs a massive sponsor and backing to help this amazing channel. My go to channel for any accounting topic

[@financewithtony]

Wow! This channel is the holy ground in the Universe of Accounting. Congratulations James! You rock! It's 10 out of 10.

[@bawol-official]

As someone who switched from Computer Science to Accounting, those data structure and algorithms classes helped tremendously with FIFO and LIFO accounting since they’re essentially a method for extracting and filling a data structure with ordered elements(e.g. Arrays, Lists, etc) FIFO = Queue and LIFO = Stack which are both fundamental to Object Oriented Programming.

[@adonayhaile9112]

same here

[@Michael.design]

Those resemblances are beautiful👌🏻

[@mattbendijo5850]

I swear you are the reason why I love accounting so much. You just make it so easy to understand and I genuinely love to listen and watch your videos keep it up man.

[@AccountingStuff]

Cheers Matt! Glad you're getting into it :)

[@sapsalingpusacattalkmaykwe1556]

same here thats wht im trying so hard too undestnd everry bit

[@treemane0]

Damn and I just had my last accounting exam yesterday and this section made up a huge part of the paper. Thank you for the awesome vid which sums up a quarter of a semesters learning in 12 mins🙏🙏

[@AccountingStuff]

No worries Tremain, hope the exam went well!

[@muhammadtaymour8668]

Even my accounts teacher uses your videos to explain this to us. Thank you so much!

[@AccountingStuff]

Cheers Muhammad, hope you're finding them helpful :)

[@lindaruhinda9168]

@@AccountingStuffHello, please may I have your email address? Thank you.

[@TylerCarroll]

Sounds like a good teacher!

[@LGNDunlop]

Congratulations James! Absolute clarity delivered so efficiently. I have been taught by many - some with the title of professor - you leave them all for dead!

[@AccountingStuff]

Thanks for your kind words!

[@timsiwula5734]

this is a neat channel. you make my life better. thanks for making these 😀

[@AccountingStuff]

Cheers Tim!

[@danielle228512]

Seriously I am so happy I discovered your channel! Some of my accounting professors go through the material so fast and a lot of time I spend in the book just tying to comprehend on my own. Which I do pretty well but you make it a lot more easy and enjoyable! Keep up the great videos and you are going to be my go to while I’m currently in school studying accounting 😊

[@AccountingStuff]

Hey Dani, it's great to hear that you're finding the vids helpful. All the best with your course!

[@ngudjohn4699]

This vid was amazing. I recently started an online tea business and my bookkeeping has been a mess. Thank you for your explanation. This was precise, clear, and to the point. Well done!

[@kabirualli4362]

Thank you from Nigeria. We really appreciate your effort in producing high quality accounting videos.

[@AccountingStuff]

You're very welcome! All the best :)

[@amralsabban3533]

From Saudi Arabia - these sessions have improved my understanding prior to the CMA exams. Thanks big time may God reward you double times

[@suess8206]

I have dreamed all the time for having a teacher like you, never thought someone like you existed, so happy to find you here! Will always follow you:)

[@noen7391]

I've learned so much in 12 minutes than what I've been learning for the past almost 3 months at school

[@AccountingStuff]

Glad you found it useful! All the best with your studies :)

[@dakehami]

I can't believe this guy exists. It's so unbelievable that it feels like a dream. Thank you.

[@AccountingStuff]

Thanks, glad you enjoyed it :)

[@hobissprite928]

YES YOU HAVE A VIDEO ABOUT THIS. I'm just starting my second unit in accounting and it's not making any sense. I was worried that there wouldn't be a video about this. Thank you as always!!

[@AccountingStuff]

Hope it helps!

[@michellelaurensn8519]

Accounting student from SA and I find these videos far more helpful than my actual study material!

[@kyrablitz3]

I literally was just googling this yesterday and here you are with a perfect video to sum it up!

[@AccountingStuff]

No worries Kyra, I'm glad you stumbled across it!

[@tusharvenkatramani1742]

Wow thank you. It's an important topic. Could you make a video on Depreciation - straight line, double depreciation and unit based. Some challenging questions as well in this topic.

[@AccountingStuff]

No problem Tushar, cheers for the suggestions!

[@skye-chor]

​@@AccountingStuff You can also talk a bit about bad debts too!

[@AccountingStuff]

@@skye-chor Thanks for your suggestion!

[@jeronimom1593]

Hey man ! Your channel is growing fast , keep at it. I love the videos

[@AccountingStuff]

Thanks Jeronimo, glad to hear you're enjoying the vids!

[@HectorGarciaCPA]

Always with the top quality content! Great job.

[@AccountingStuff]

Cheers Hector, all the best!

[@sultanafaqeerzada4573]

Will be forever indebted to you for your concise, effective videos. Please do one for balance sheet recs (perhaps going through 1-2 real examples)

[@AccountingStuff]

Cheers for your suggestion Sultana!

[@lauravarela8115]

Thanks!

[@AccountingStuff]

Absolute legend, thanks!!

[@muskasaleem7715]

Man your awesome. I have accounting exam on monday and our teacher is pretty cruel and fast. The way she teaches shes basically going on a train. Im a weak person in case of accounting and math and I never understood a single thing she would teach. But ever since I found your chanel i cannot even explain the happiness I feel right now. My final exams on monday and you have covered almost all the half course. Thank you so much. The only thing I wanna ask is please make videos on marketable securities and so on.

[@AccountingStuff]

Great to hear it's clicking!! Best of luck in your exam on monday

[@boxhero_official]

Great video! 🙌 It's so important to calculate inventory correctly, taking COGS into consideration! You can also use inventory management softwares with analytics tools.

[@captainfoley]

I took the exam yesterday,and it was nice.Thank you so much for your videos 😊

[@AccountingStuff]

No worries, glad to hear the exam went well!

[@jonl.8056]

Yes ! I’ve been waiting for this !!! Thank you thank you!!

[@AccountingStuff]

Cheers Jon, hope you find it useful

[@jaimiechen7034]

excellent video to explain such complicated concepts with simple examples.

[@jozsefszabo6157]

Great Video that James. Thank you! World Class as always.

[@AccountingStuff]

Glad you enjoyed it

[@kylespade5958]

dude you are awesome. Just in time for this school weeks topic.

[@AccountingStuff]

No worries Kyle, hope it helps!

[@yinglinyu4365]

Thank you for your link with cheatsheets!! All IN!

[@enen6221]

Why am I spontaneously watching accounting vids on winter break when I couldve watched this (for extra help) last term 😂

[@Xoxooxoxoxooxoxo]

thanks for making these incredible videos! Not only are they incredibly informative, but you manage to make them fun as well! I turned off my ad-block for your channel, is there any other way to support you? Maybe a patreon?

[@AccountingStuff]

Thanks for the support, it's great to hear that you're enjoying the videos! I don't have a Patreon at the moment... perhaps I'll get around to it at some point.

[@krisea3807]

Your vids about accounting are always precise , clear, and to the point. Thank you James, love from Tamil Nadu, India. I subscribed.

[@AccountingStuff]

Cheers and thanks for the sub!

[@isabelcatherinetravis4274]

Thank you so much!! This is way better than any classes I've had at university.

[@AccountingStuff]

Thanks Isabel!!

[@isabelcatherinetravis4274]

@@AccountingStuff welcome 🥰

[@piluna2258]

Wow, that actually made sense. Thank you for explaining it so clearly.

[@AccountingStuff]

Glad to hear it!

[@saddestdayever1276]

Thank you, my man! I appreciate your easy explanation on inventory systems for Intermediate Accounting 2!

[@bjjgarage1378]

I see, you made me realize I use the Perpetual Inventory system in my business. Thank you.

[@AccountingStuff]

No worries :)

[@Brisket23]

You rock! Thank you for your videos! i have watched so many

[@thamzhiyong3161]

nice this helped me during my accounting studies (now doing bachelors after i did a diploma in accounting).

[@AccountingStuff]

Hope your studies are going well :)

[@makiyashoukat8807]

amazing explanation + amazing video editing = interesting video.

[@AccountingStuff]

Cheers Makiya, glad you enjoyed it :)

[@nadiaardini3613]

Hey this really help mee 😭 Thank youuu , love from malaysiaaa ❤️

[@AccountingStuff]

Cheers Nadia, that's great to hear! All the best :)

[@Britas1030]

You saved my degree. Genuinely appreciated😊

[@AccountingStuff]

Best of luck with it! I hope you get the grades that you're after

[@mygelalvarez7729]

You are awesome 😎 this is helpful to me..it's helping me through my basic accounting course! Keep on making them ...the more details the better

[@swatisucharita1485]

Insanely awesome video ..taught the topic with such ease, great work !!!

[@AccountingStuff]

No worries, I'm happy to help!

[@chelmell895]

On the time 8:30 the cogs equals 3600? I’m confused because 450units x $15 then it’s 450 units x $8? Why did you use $8 instead of $15 for cogs? Could someone please explain this? 🙏🙏

[@redenpagal52]

$8 - purchase price $15 - selling price

[@yosiefrezene4141]

Brilliant video, all ways easy to understand. A recommendation disposal of non current assests and depreciation.

[@AccountingStuff]

Cheers Yosief, and thanks for the suggestions!

[@letsglowwqueen]

Hi James! Thanks for all these videos..Can you start posting again videos on accounts receivable and allowances.

[@Bhagyasri035]

Your videos have impressed me! Great job man. Hope you make more and more videos 😊 --From India

[@AccountingStuff]

Thanks, I plan to make many more :)

[@levyshi4551]

Thank u sooooo much ! I just learned last week it's much easier for me to understand !!!!!!

[@AccountingStuff]

Perfect timing!

[@kevv.1912]

thanks a lottttt, finally the words purchases and sales appeared

[@AccountingStuff]

Glad you enjoyed it!

[@benjaminmolia593]

just wanna say thank you so much honestly

[@AccountingStuff]

Cheers Benjamin, hope your studies are going well!

[@erikaespana7303]

I am still wondering how you can be that awesome. Imean, are you a teacher? because you totally nail it. You should be a tecaher cause you are amazing. Love your videos

[@Mirzaarhmn]

This is really helpful! Thanks brother ❤️ looking forward for yr next vid

[@AccountingStuff]

Thanks, I'm working on it as we speak

[@Mirzaarhmn]

@@AccountingStuff Hehe 😉can you do accounting error vid also? ,

[@AccountingStuff]

@@Mirzaarhmn Thanks for your suggestion!

[@ZakirKhan-oz2kx]

Vary helpful

[@whimsy7706]

u honestly make my life better, thank you :'>

[@AccountingStuff]

No worries, I'm happy to help!

[@lauraserna4266]

Love your videos and the way you explain everything! :D keep going!!!

[@AccountingStuff]

Thanks Laura!

[@avidshutterbugg9990]

Thank you so much James. This really means alot

[@ashianaafrinisha2092]

Hey ! Can we record supplies as supplies in perpetual inventory system? And if the transaction is in cash i.e purchased merchandise for cash, in perpetual inventory system... Then what can we write?

[@WonderrOnYT]

great video James, i love your content!!

[@AccountingStuff]

Thanks Muhammad!

[@otakunutz9544]

Question, does these two can be used on manufacturing? or only for merchandising business only?

[@gavp5248]

Can you help explain the actual practical interaction of ERP software with perpetual inventory? Will the system just record the movement of inventory so that you use that movement to calculate COGS or will it make the journal entries into the accounting system by itself?

[@AccountingStuff]

Thanks for your request!

[@hollyma831]

I saw this video,thanks you so much ,lt is really good for my work~

[@EnthesKepas]

I love this explanation ❤

[@AccountingStuff]

Thanks, that's great to hear :)

[@melissahansen1808]

This helps me so so much. Thank you very much 😊

[@AccountingStuff]

Cheers Melissa!

[@bambijr9220]

i love you thanks for the explanation!

[@AccountingStuff]

No problem!

[@cerisebelladonna4545]

Thank you so much, your videos help a ton, would really appreciate a video on contra, 😅struggling to get my head around it

[@AccountingStuff]

Hey Lizzy, cheers for your suggestion :)

[@sausthabbirsinghtuladhar1729]

I just wanted to know. you are a savior

[@AccountingStuff]

Haha, thanks Sausthab. All the best!

[@angelk2691]

Hope to have “ ways of correcting errors in accounting” in your channel

[@AccountingStuff]

Hey Kuek, cheers for your suggestion!

[@bonnieniedermayer2427]

correcting inventory errors would be great

[@jamesinabradshaw1799]

Thanks so much! I understand better now.

[@AccountingStuff]

Nice one! I'm glad it's making sense

[@kiransen4975]

Well explained thanks man

[@AccountingStuff]

You're very welcome :)

[@DennisSimplifies]

Thanks, James . I love your videos. Can you make videos on Suspense accounts and manufacturing accounts? I'd really appreciate it . Thanks in advance

[@AccountingStuff]

Thanks for your request :)

[@SAIF_SALAMEH]

Thank you so much ❤🤍👌🏻

[@AccountingStuff]

You're very welcome :)

[@badireducationalinitiative6703]

I like your methods.. Please carry on...

[@AccountingStuff]

Cheers!

[@tolong7739]

Outstanding!

[@AccountingStuff]

Thanks!!

[@kevinweedman8391]

Thank you so much for the great video!

[@AccountingStuff]

No worries Kevin, you're welcome :)

[@sophien9203]

Hey just wanna say I really love your channel! Could you please do a vid about bad debts would appreciate that!

[@AccountingStuff]

Hey Sophie, cheers for your suggestion. I'd like to cover that at some point

[@LSF315]

Hoping that you can help here! Closing stock is valued at $1000 which then becomes the opening stock value. $50 worth of stock is brought in during the month but none of this is sold; this stock is charged to purchases. Why can we not simply increase the inventory and also decrease the purchases account? If during the next month, no stock is purchases but during this same month, $25 worth of stock is sold. At the end of this month, can we not credit inventories and debit purchases to transfer $25 from the BS to the PL?

[@OMERAAZIZ]

Thank you so much for your effort. Would you please make a video about Continental Vs Anglo-Saxon Inventory Valuation??

[@idealca6634]

i didnt know i needed this, damn, thanks bro, are you a cpa?

[@arjunarun9174]

Isn't there a purchases account for manufacturying firms too? Are these two accounts the same?

[@jasimkhan1011]

Excellent...

[@seisopheapanya7528]

I have always followed watching your video....and thanks. And I would like to suggest a new video related to recording purchases of merchandise.

[@AccountingStuff]

Thanks for your request!

[@seisopheapanya7528]

@@AccountingStuff thanks a lot for always response to us.

[@AccountingStuff]

@@seisopheapanya7528 No worries :)

[@ryan6978]

8:48 Cost of good sold debit should write inventory instead of COGS right?

[@AccountingStuff]

Yep, I probably should have written that!

[@victorialacey2124]

thank you - this is awesome

[@AccountingStuff]

Cheers Victoria!

[@tusharvenkatramani1742]

Hiii , I find your videos really interesting and helpful. Could you consider making a video on bad debts, Write offs and doubtful debts.

[@AccountingStuff]

Hey Tushar, thanks for your suggestions!

[@tangtony1536]

Inventory Ledger would be posting to which journal though if there are five type of Journal namely Sales journal, Purchase journal, General Journal, Cash Journal and Bank Journal by using perpetual method

[@himakumarikhanal803]

Great video

[@AccountingStuff]

Cheers :)

[@HamzaAhmed_1644]

hey i just wanted to ask what did you mean when you said in previous videos "debits increase balances in the DEA(of dealer)

[@AccountingStuff]

Hey Hamza, DEALER is a trick to help remember the normal debit and credit accounts. If you haven't heard of it before then I recommend watching this one. It's super useful... kzbin.info/www/bejne/a4qWqJ1-Ypuafs0

[@juanwang3514]

Thank you for your video which is quite clear. Just one question, when we do period system, in step 2, debit purchasing should be considered as expense, is it? Thank you!

[@rajg50397]

thanx for give idea to solve my exam ❤❤❤

[@AccountingStuff]

Happy to help

[@corysmith6868]

what if you have a small service business and you don't track inventory. I just buy the parts from the supplier as I need them for my customers. is there anything bad about doing it this way? Using Xero all I do is reconcile the purchases as COGS. Is there an important reason that I'm unaware of that I should be using perpetual maybe? If I was a midsized business It would make more sense I think. Thanks

[@sunshineblues.]

I have question could someone kind enlighten me about this. Question: Considering that the beginning of the accounting period is January 1, 2020. If the ending inventory was mentioned in January 31, 2020 transaction, are you going to record the ending inventory or not yet? Why?

[@twinkle_yara]

Thank you 🙏

[@AccountingStuff]

You're welcome :)

[@mahdrasta]

you're the best thanks xx

[@danieljessin3519]

Hi james, Thank you so much for putting this up. I am assuming the costly ERP softwares uses the Perpetual Inventory Accounting (consumption based accounting). Well in those cases when they do a purchase, they declare it as an Asset..Dr the Inventory Account but Cr the GR‐IR account instead of Cash or Accounts Payable. Could you help me understand the GR‐IR Thanks !

[@danjefferies2235]

But what happens when you do your stocktake and the inventory is different? Say some of the inventory was stolen, how do you account for that using both the methods?

[@nothingspecial5988]

Thank you so much!!!!

[@AccountingStuff]

You're most welcome :)