The financial statements of P&G are presented in Appendix B. The companys complete annual report, including the

Question:

The financial statements of P&G are presented in Appendix B. The company’s complete annual report, including the notes to the financial statements, is available online.


Instructions

Refer to P&G’s financial statements and the accompanying notes to answer the following questions.

a. How does P&G value its inventories? Which inventory costing method does P&G use as a basis for reporting its inventories?

b. How does P&G report its inventories in the balance sheet? In the notes to its financial statements, what three descriptions are used to classify its inventories?

c. What costs does P&G include in Inventory and Cost of Products Sold?

d. What was P&G’s inventory turnover in 2017? What is its gross profit percentage? Evaluate P&G’s inventory turnover and its gross profit percentage.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Intermediate Accounting

ISBN: 978-1119503668

17th edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfiel

Question Posted: