INVENTORY METHODS

Inventory Methods Memo

Inventory Methods Memo

To: Mr. Raphaela Gonzalez, RKB Food Wholesalers

From: Ralph J. Financial Advisor BT Financial Consultants

Date: 09-04-2012

Subject: Choice of Inventory Methods

This memo intends to respond to your query regarding the inventory record treatment for your wholesale business. In going through the specifics of your accounting treatment for inventory valuation and recording, I have found the following issues to be addressed:

The First-in-First-Out Method that you have using all this year has certain implications for the inventory level reports at the end of the year, which in turn impacts the profit and tax figures for your business. The use ...