Question
Company K purchased $31000 of raw materials for $26000 ($5000 discount). and recorded as inventory Inventory 26000 Account Payable. 26000 After every month, company record
Company K purchased $31000 of raw materials for $26000 ($5000 discount). and recorded as inventory
Inventory 26000
Account Payable. 26000
After every month, company record the usage (COGS) of raw materials used to produce finished good. However, the usage is base on the $31000 pricing. How can we record the discount in order to avoid the negative in the inventory?
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Management And Cost Accounting
Authors: Colin Drury
5th Edition
1861525362, 978-1861525369
