1) What type of account is Merchandise Inventory and on which financial statement is it...
70.2K
Verified Solution
Link Copied!
Question
Accounting
1) What type of account is Merchandise Inventory and on which financial statement is it found? Does it have a debit or credit balance? Also, one of my chapters states that "LCM" is a guiding principle for presenting inventory in the financials. What does LCM mean and what is the reasoning behind it?
(2) What is the difference between the physical flow of goods and the flow of costs through a company?
(3) By having different inventory methods that result in different costs of goods sold and gross profit, arent we encouraging companies to play with the numbers?" Please discuss.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
