Bab 5 Prinsip Akuntansi 1

Slide
5-1
Chapter 5
Accounting for
Merchandising
Operations
Financial Accounting, IFRS Edition
Weygandt Kimmel Kieso
Slide
5-2
Study
Study Objectives
Objectives
1. Identify the differences between service and merchandising

companies.
2. Explain the recording of purchases under a perpetual
inventory system.
3. Explain the recording of sales revenues under a perpetual
inventory system.
4. Explain the steps in the accounting cycle for a
merchandising company.
5. Prepare an income statement for a merchandiser.
6. Explain the computation and importance of gross profit.
Slide
5-3
Accounting
Accounting for
for Merchandising
Merchandising Operations
Operations
Completing
Recording Recording Forms of
Merchandising the
Purchases of Sales of Financial
Operations Accounting
Merchandise Merchandise Statements
Cycle
Operating Freight costs Sales returns Adjusting Income

cycles Purchase and entries statement
Flow of costs returns and allowances Closing Classified
—perpetual allowances Sales entries statement of
and periodic Purchase discounts Summary of financial
inventory discounts merchandising position
systems entries
Summary of
purchasing
transactions
Slide
5-4
Merchandising
Operations
Merchandising Companies
Buy and Sell Goods
Wholesaler Retailer Consumer
The primary source of revenues is referred to as

sales revenue or sales.
Slide
5-5
SO 1 Identify the differences between service and merchandising companies.
Merchandising
Operations
Income Measurement
Not used in a
Sales Less
Service business.
Revenue
Illustration 5-1
Cost of = Gross Less

Goods Sold Profit
Operating = Net
Cost of goods sold is the total Income
cost of merchandise sold during Expenses
(Loss)
the period.
Slide
5-6
Merchandising
Operations
Illustration 5-2
Operating
Cycle
The operating
cycle of a
merchandising
company
ordinarily is longer
than that of a
service company.
Slide
5-7
Merchandising
Operations
Flow of Costs Illustration 5-3
Slide
5-8
Merchandising
Operations
Flow of Costs
Perpetual System
1. Purchases increase Merchandise Inventory.
2. Freight costs, Purchase Returns and Allowances and
Purchase Discounts are included in Merchandise Inventory.
3. Cost of Goods Sold is increased and Merchandise Inventory
is decreased for each sale.
4. Physical count done to verify Merchandise Inventory balance.
The perpetual inventory system provides a continuous record of

Merchandise Inventory and Cost of Goods Sold.
Slide
5-9
Merchandising
Operations
Flow of Costs
Periodic System
1. Purchases of merchandise increase Purchases.
2. Ending Inventory determined by physical count.
3. Calculation of Cost of Goods Sold:
Beginning inventory
$ 100,000
Add: Purchases, net
+ 800,000
Slide Goods available for sale
5-10
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Illustration 5-5
Made using cash or credit

(on account).
Normally recorded when
goods
are received.
Purchase invoice should
support each credit

purchase.
Slide
5-11
SO 2 Explain the recording of purchases under a perpetual inventory system.
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Under the perpetual inventory system, companies record in the

Merchandise Inventory account the purchase of goods they intend
to sell.
Illustration: From INVOICE NO. 731 (Illustration 5-5) record the

journal entry Sauk Stereo would make to record its purchase from
PW Audio Supply.
May 4 Merchandise inventory 3,800

Accounts payable 3,800
Slide
5-12
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Freight Costs – Terms of Sale Illustration 5-6
Seller places goods Free On

Board the carrier, and buyer
pays freight costs.
Seller places goods Free On

Board to the buyer’s place
of business, and seller pays
freight costs.
Slide Freight costs incurred by the seller are an operating expense. SO 2

5-13
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Illustration: Assume upon delivery of the goods on May 6, Sauk

Stereo pays Acme Freight Company €150 for freight charges, the
entry on Sauk Stereo’s books is:
May 6 Merchandise inventory 150
Cash 150
Assume the freight terms on the invoice in Illustration 5-5 had

required PW Audio Supply to pay the freight charges, the entry
by PW Audio Supply would have been:
May 4 Freight-out (or Delivery Expense) 150
Cash 150
Slide
5-14
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Purchase Returns and Allowances

Purchaser may be dissatisfied because goods are
damaged or defective, of inferior quality, or do not meet
specifications.
Purchase Return Purchase Allowance

Return goods for credit if May choose to keep the
the sale was made on merchandise if the seller
credit, or for a cash refund will grant an allowance
if the purchase was for (deduction) from the
cash. purchase price.
Slide
5-15
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Illustration: Assume that on May 8 Sauk Stereo returned

to PW Audio Supply goods costing €300.
May 8 Accounts payable 300

Merchandise inventory 300
Slide
5-16
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Purchase Discounts
Credit terms may permit buyer to claim a cash discount
for prompt payment.
Advantages:
Purchaser saves money.
Seller shortens the operating cycle.
Example: Credit terms of 2/10, n/30, is read “two-ten, net thirty.”

2% cash discount if payment is made within 10 days.
Slide
5-17
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Purchase Discount Terms
2/10, n/30 1/10 EOM n/10 EOM
2% discount if 1% discount if Net amount due

paid within 10 paid within first 10 within the first 10
days, otherwise days of next days of the next
net amount due month. month.
within 30 days.
Slide
5-18
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Illustration: Assume Sauk Stereo pays the balance due of

€3,500 (gross invoice price of €3,800 less purchase returns and
allowances of €300) on May 14, the last day of the discount
period. Prepare the journal entry Sauk makes to record its May
14 payment.
May 14 Accounts payable 3,500

Cash 3,430
Merchandise Inventory 70
Slide
5-19
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Illustration: If Sauk Stereo failed to take the discount, and

instead made full payment of €3,500 on June 3, the journal entry
would be:
June 3 Accounts payable 3,500

Cash 3,500
Slide
5-20
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Purchase Discounts
Should discounts be taken when offered?
Passing up the discount offered equates to paying an

interest rate of 2% on the use of $3,500 for 20 days.
Example: 2% for 20 days = Annual rate of 36.5%

(365/20 = 18.25 twenty-day periods x 2% = 36.5%)
Slide
5-21
Recording
Recording Purchases
Purchases of
of Merchandise
Merchandise
Summary of Purchasing Transactions
Illustration Merchandise Inventory

Debit Credit
4th - Purchase €3,800 €300 8th - Return

6th – Freight-in 150 70 14th - Discount
Balance €3,580
Slide
5-22
Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Illustration 5-5
Made for cash or credit

(on account).
Normally recorded when
earned,
usually when
goods
transfer from
seller to buyer.
Sales invoice should
support
Slide
each credit SO 3 Explain the recording of sales revenues
5-23 sale. under a perpetual inventory system.
Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Two Journal Entries to Record a Sale
#1 Cash or Accounts receivable XXX Selling

Sales XXX Price
#2 Cost of goods sold XXX Cost

Merchandise inventory XXX
Slide SO 3 Explain the recording of sales revenues

5-24 under a perpetual inventory system.
Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Illustration: Assume PW Audio Supply records its May 4 sale of

€3,800 to Sauk Stereo (Illustration 5-5) as follows. Assume the
merchandise cost PW Audio Supply €2,400.
May 4 Accounts receivable 3,800

Sales 3,800
4 Cost of goods sold 2,400

Merchandise inventory 2,400

Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Sales Returns and Allowances

“Flipside” of purchase returns and allowances.
Contra-revenue account (debit).
Sales not reduced (debited) because:
 would obscure importance of sales returns and
allowances as a percentage of sales.
 could distort comparisons between total sales in

different accounting periods.

Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Illustration: Prepare the entry PW Audio Supply would make to

record the credit for returned goods that had a €300 selling price
(assume a €140 cost). Assume the goods were not defective.
May 8 Sales returns and allowances 300

Accounts receivable 300
8 Merchandise inventory 140

Cost of goods sold 140

Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Illustration: Assume the returned goods were defective and had

a scrap value of €50, PW Audio would make the following entries:

8 Merchandise inventory 50

Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Sales Discount
Offered to customers to promote prompt payment.
“Flipside” of purchase discount.
Contra-revenue account (debit).

Recording
Recording Sales
Sales of
of Merchandise
Merchandise
Illustration: Assume Sauk Stereo pays the balance due of

€3,500 (gross invoice price of €3,800 less purchase returns and
allowances of €300) on May 14, the last day of the discount
period. Prepare the journal entry PW Audio Supply makes to
record the receipt on May 14.
May 14 Cash 3,430

Sales discounts 70 *
Accounts receivable 3,500
* [(€3,800 – €300) X 2%]

Completing
Completing the
the Accounting
Accounting Cycle
Cycle
Adjusting Entries
Generally the same as a service company.
One additional adjustment to make the records agree

with the actual inventory on hand.
Involves adjusting Merchandise Inventory and Cost of
Goods Sold.
Slide
5-31
SO 4 Explain the steps in the accounting cycle for a merchandising company.
Completing
Completing the
the Accounting
Accounting Cycle
Cycle
Illustration: Suppose that PW Audio Supply has an unadjusted

balance of €40,500 in Merchandise Inventory. Through a physical
count, PW Audio determines that its actual merchandise inventory
at year-end is €40,000. The company would make an adjusting
entry as follows.

Merchandise inventory 500
Slide
5-32
SO 4 Explain the steps in the accounting cycle for a merchandising company.
Completing
Completing the
the Accounting
Accounting Cycle
Cycle
Closing
Entries
Slide
5-33
Forms
Forms of
of Financial
Financial Statements
Statements
Income Statement
Primary source for evaluating a company’s
performance.
Format designed to differentiate between the various

sources of income and expense.
Slide
5-34
SO 5 Prepare an income statement for a merchandiser.
Forms
Forms of
of Financial
Statements
Income Statement Presentation of Sales

Illustration 5-13
Slide
5-35
SO 5 Prepare an income statement for a merchandiser.
Forms
Forms of
of Financial
Statements
Gross Profit Illustration 5-13
Illustration 5-10
Slide
5-36
SO 6 Explain the computation and importance of gross profit.
Forms
Forms of
of
Financial
Financial
Statements
Statements
Operating
Expenses
Illustration 5-13
IFRS allows presentation by nature and presentation by function.

Slide
5-37
SO 5 Distinguish between a multiple-step and a single-step income statement.
Forms
Forms of
of
Financial
Financial
Statements
Statements
Various revenues
and gains and
expenses and
losses that are
unrelated to the
company’s main
line of operations.
Other Income
and Expense
Slide Illustration 5-13

5-38
SO 5
Forms
Forms of
of
Financial
Financial
Statements
Statements
Interest expense, if
material, must be
disclosed on the
face of the income
statement.
Interest
Expense
Slide Illustration 5-13
5-39
SO 5
Forms
Forms of
of Financial
Statements
Comprehensive Income
Includes certain adjustments to pension plan assets, gains and
losses on foreign currency translation, and unrealized gains and
losses on certain types of investments.
Illustration 5-14
Reported in a combined statement of net income and

comprehensive income, or in a separate schedule that reports
only comprehensive income.
Slide
5-40
SO 6 Explain the computation and importance of gross profit.
Forms
Forms of
of Financial
Statements
Review Question
The multiple-step income statement for a
merchandiser shows each of the following features
except:
a. gross profit.
b. cost of goods sold.
c. a sales revenue section.
d. investing activities section.
Slide
5-41
Forms
Forms of
of Financial
Statements
Classified Statement of Financial Position

Illustration 5-15
Slide
5-42
Forms
Forms of
of Financial
Statements
Indicate in which financial statement (Income

Statement, IS; Statement of Financial Position, SFP;
or Retained Earnings Statement, RES) and under what classification
each of the following would be reported.
Accounts Payable SFP Current liabilities

Accounts Receivable SFP Current assets
Accumulated Depreciation SFP Property, plant, and equipment
Advertising Expense IS Operating expenses
Depreciation Expense IS Operating expenses
Dividends RES Deduction section
Cash SFP Current assets
Slide
5-43
Forms
Forms of
of Financial
Statements

Freight-out IS Operating expenses

Gain on Sale of Equipment IS Other income and expense
Insurance Expense IS Operating expenses
Interest Expense IS Interest expense
Interest Payable SFP Current liabilities
Land SFP Property, plant, and equipment
Merchandise Inventory SFP Current assets
Slide
5-44
Forms
Forms of
of Financial
Statements

Notes Payable SFP Non-current liabilities

Office Building SFP Property, plant, and equipment
Property Tax Payable SFP Current liabilities
Salaries Expense IS Operating expenses
Salaries Payable SFP Current liabilities
Sales Returns and Allowances IS Sales revenues
Share Capital—Ordinary SFP Equity
Slide
5-45
Forms
Forms of
of Financial
Statements

Store Equipment SFP Property, plant, and equipment

Sales Revenue IS Sales revenues
Utilities Expense IS Operating expenses
Slide
5-46
Understanding
Understanding U.S.
U.S. GAAP
GAAP
Accounting for
Key Differences Merchandising Operations
Under both GAAP and IFRS, a company can choose to use
either a perpetual or a periodic system.
Inventories are defined in IAS 2 as held for sale in the

ordinary course of business, in the process of production
for such sale, or in the form of materials or supplies to be
consumed in the production process or in the rendering of
services. The definition under GAAP is essentially the same.
Slide
5-47
Understanding
Understanding U.S.
U.S. GAAP
GAAP
Accounting for
As noted in the chapter, under IFRS companies must
classify expenses by either nature or by function.
Classification by nature leads to descriptions such as the
following: salaries, depreciation expense, and utilities
expense. If a company uses the functional expense method
on the income statement, disclosure by nature is required in
the notes to the financial statements. In contrast, under
GAAP, companies generally classify income statement
items by function. Classification by function leads to
descriptions such as administration, distribution, and
manufacturing.
Slide
5-48
Understanding
Understanding U.S.
U.S. GAAP
GAAP
Accounting for
Presentation of the income statement under GAAP follows
either a single-step or multiple-step format. IFRS does not
mention a single-step or multiple-step approach although
the approach used is similar to that referred to as a multiple-
step statement under GAAP.
IFRS requires that two years of income statement

information be presented, whereas GAAP requires three
years.
Slide
5-49
Understanding
Understanding U.S.
U.S. GAAP
GAAP
Accounting for
Looking to the Future Merchandising Operations
The IASB and FASB are working on a project that would rework the
structure of financial statements. Specifically, this project will
address the issue of how to classify various items in the income
statement. A main goal of this new approach is to provide
information that better represents how businesses are run. In
addition, this approach draws attention away from just one number
—net income. It will adopt major groupings similar to those
currently used by the statement of cash flows (operating,
investing, and financing), so that numbers can be more readily
traced across statements. Finally, this approach would also
provide detail, beyond that currently seen in most statements
(either GAAP or IFRS), by requiring that line items be presented
Slide
both by function and by nature.
5-50
Periodic
Periodic Inventory
Inventory System
System
Periodic System
Separate accounts used to record purchases, freight
costs, returns, and discounts.
Company does not maintain a running account of
changes in inventory.
Ending inventory determined by physical count.
Slide SO 7 Explain the recording of purchases and sales of

5-51 inventory under a periodic inventory system.
Periodic
Periodic Inventory
Inventory System
System
Calculation of Cost of Goods Sold

Illustration 5A-1

Recording
Recording Purchases
Purchases under
under Periodic
Periodic System
System
Illustration: On the basis of the sales invoice (Illustration 5-5) and

receipt of the merchandise ordered from PW Audio Supply, Sauk
Stereo records the €3,800 purchase as follows.
May 4 Purchases 3,800

Accounts payable 3,800

Recording
Recording Purchases
Purchases under
under Periodic
Periodic System
System
Freight Costs
Illustration: If Sauk pays Acme Freight Company €150
for freight charges on its purchase from PW Audio Supply on May
6, the entry on Sauk’s books is:
May 6 Freight-in (Transportation-in) 150

Cash 150

Recording
Recording Purchases
Purchases under
under Periodic
Periodic System
System
Purchase Returns and Allowances

Illustration: Sauk Stereo returns €300 of goods to PW Audio
Supply and prepares the following entry to recognize the return.
May 8 Accounts payable 300

Purchase returns and allowances 300

Recording
Recording Purchases
Purchases under
under Periodic
Periodic System
System
Purchase Discounts
Illustration: On May 14 Sauk Stereo pays the balance due on
account to PW Audio Supply, taking the 2% cash discount allowed
by PW Audio for payment within 10 days. Sauk
Stereo records the payment and discount as follows.
May 14 Accounts payable 3,500

Purchase discounts 70
Cash 3,430

Recording
Recording Sales
Sales under
under Periodic
Periodic System
System
Illustration: PW Audio Supply, records the sale of €3,800 of

merchandise to Sauk Stereo on May 4 (sales invoice No. 731,
Illustration 5-5) as follows.
May 4 Accounts receivable 3,800

Sales 3,800
No entry is recorded for cost of goods sold at the time of the

sale under a periodic system.

Recording
Recording Sales
Sales under
under Periodic
Periodic System
System
Sales Returns and Allowances

Illustration: To record the returned goods received from Sauk
Stereo on May 8, PW Audio Supply records the €300 sales return
as follows.


Recording
Recording Sales
Sales under
under Periodic
Periodic System
System
Sales Discounts
Illustration: On May 14, PW Audio Supply receives payment of
€3,430 on account from Sauk Stereo. PW Audio honors the 2%
cash discount and records the payment of Sauk’s account
receivable in full as follows.
May 14 Cash 3,430

Sales discounts 70
Accounts receivable 3,500

Comparison
Comparison of
of Entries-Perpetual
Entries-Perpetual vs.
vs. Periodic
Periodic
Illustration 5A-2

Comparison
Comparison of
of Entries-Perpetual
Entries-Perpetual vs.
vs. Periodic
Periodic
Illustration 5A-2

Worksheet
Worksheet for
for aa Merchandising
Merchandising Company
Company
Illustration 5B-1
Slide
5-62 SO 8
Copyright
Copyright
“Copyright © 2011 John Wiley & Sons, Inc. All rights reserved.
Reproduction or translation of this work beyond that permitted in
Section 117 of the 1976 United States Copyright Act without the
express written permission of the copyright owner is unlawful.
Request for further information should be addressed to the
Permissions Department, John Wiley & Sons, Inc. The purchaser
may make back-up copies for his/her own use only and not for
distribution or resale. The Publisher assumes no responsibility for
errors, omissions, or damages, caused by the use of these
programs or from the use of the information contained herein.”
Slide
5-63

Bab 5 Prinsip Akuntansi 1

Hochgeladen von

Dokumentinformationen

Originaltitel

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

Bab 5 Prinsip Akuntansi 1

Hochgeladen von

Copyright:

Verfügbare Formate

Slide

1. Identify the differences between service and merchandising

Operating Freight costs Sales returns Adjusting Income

Wholesaler Retailer Consumer

The primary source of revenues is referred to as

Cost of = Gross Less

Flow of Costs Illustration 5-3

The perpetual inventory system provides a continuous record of

Made using cash or credit

support each credit

Under the perpetual inventory system, companies record in the

Illustration: From INVOICE NO. 731 (Illustration 5-5) record the

May 4 Merchandise inventory 3,800

Freight Costs – Terms of Sale Illustration 5-6

Seller places goods Free On

Seller places goods Free On

Slide Freight costs incurred by the seller are an operating expense. SO 2

Illustration: Assume upon delivery of the goods on May 6, Sauk

Assume the freight terms on the invoice in Illustration 5-5 had

Purchase Returns and Allowances

Purchase Return Purchase Allowance

Illustration: Assume that on May 8 Sauk Stereo returned

May 8 Accounts payable 300

Example: Credit terms of 2/10, n/30, is read “two-ten, net thirty.”

Purchase Discount Terms

2/10, n/30 1/10 EOM n/10 EOM

2% discount if 1% discount if Net amount due

Illustration: Assume Sauk Stereo pays the balance due of

May 14 Accounts payable 3,500

Illustration: If Sauk Stereo failed to take the discount, and

June 3 Accounts payable 3,500

Passing up the discount offered equates to paying an

Example: 2% for 20 days = Annual rate of 36.5%

Summary of Purchasing Transactions

Illustration Merchandise Inventory

4th - Purchase €3,800 €300 8th - Return

Made for cash or credit

Two Journal Entries to Record a Sale

#1 Cash or Accounts receivable XXX Selling

#2 Cost of goods sold XXX Cost

Slide SO 3 Explain the recording of sales revenues

Illustration: Assume PW Audio Supply records its May 4 sale of

May 4 Accounts receivable 3,800

4 Cost of goods sold 2,400

Slide SO 3 Explain the recording of sales revenues

Sales Returns and Allowances

 could distort comparisons between total sales in

Slide SO 3 Explain the recording of sales revenues

Illustration: Prepare the entry PW Audio Supply would make to

May 8 Sales returns and allowances 300

8 Merchandise inventory 140

Slide SO 3 Explain the recording of sales revenues

Illustration: Assume the returned goods were defective and had

May 8 Sales returns and allowances 300

Slide SO 3 Explain the recording of sales revenues

Slide SO 3 Explain the recording of sales revenues

Illustration: Assume Sauk Stereo pays the balance due of

May 14 Cash 3,430

* [(€3,800 – €300) X 2%]

Slide SO 3 Explain the recording of sales revenues

One additional adjustment to make the records agree

Illustration: Suppose that PW Audio Supply has an unadjusted

Cost of goods sold 500