Inventory Turnover Ratios 1. Inventory turnover ratio = Cost of goods sold / Average inventory 2. Days in inventory = 365 days / Inventory turnover
Equity or Liabilities ? SFAS No. 150, May 2003 “Accounting for Certain Financial Instruments with Characteristics of both Liabilities and Equity” FASB Staff Position FAS
Gain contingency –> a gain will incur if certain future events occur or not occur Recognition of a gain contingency –> a gain contingency is
Loss contingency –> a loss will incur if certain future events occur or not occur Recognition of a loss contingency 1. Recognized in the financial
Contingencies 1. Gain contingency –> a gain will incur if certain future events occur or not occur 2. Loss contingency –> a loss will incur
Exit or Disposal Cost Obligations SFAS 146, June 2002 “Accounting for Costs Associated with Exit or Disposal Activities” Exit or disposal cost obligations 1. Costs