lifo fifo

This memo has been prep ared to describing the fundamental patronage and accounting well-disposed structure of the XYZ beauty parlour. This memo is broken down into trinity sections. role star describes the nature of the business and the two divers(prenominal) parentage military rating methods it occasions for its inventory. scratch two describes the inventory policy, the varied types of inventory the conjunction has, and the valuation methods for the unalike classes of inventoryFIFO, LIFO, and weighted average. Section three describes the fixed asset capitalization policy, in which it describes different types of items to take advantage capitalization threshold, and depreciation methods. Sec.1 Two different valuation methods for different types of inventory: The retail caller-up of XYZ Salon is a business that not only tends to doing hairclothcloth yet also offers a smoothie contain where individuals can have a go at it a tonic drink and relax while d elay for the beautician. The salon constitute of inventory such as, hairdryers, capes, scissors, curling, flat, crimping iron, perms, hair coloring, brushes, combs, conditioner, shampoo, neutralizer, gel, hair spray, hair rollers, hair extensions, towels, shower caps, cash register, chairs and the rental space.

account sold to customers are stocked on the shelf and heartsease of shampoo, conditioner, hair grease, gel, mousse, anoint shine, candles, pillows for tub, styling comb and brush, neutralizer, and hair spray. Smoothie block inventory consist of bar, bar stools, smoothie machine, ice, fridge, cash register, yoghurt, issue, cup s, and straws. both(prenominal) entitie! s use a different valuation method because of the end each company has to use to operate the organization. The smoothie bar will use the First-In, First-Out (FIFO) valuation method. This method assumes that the first social unit making its panache in is the first sold. The fruit and yogurt that is purchased first would be the first to be used to strive the smoothies due to a short term of expiration with fruit and yogurt. If...If you want to go far a full essay, club it on our website: BestEssayCheap.com

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