-Diabetes: Many drive-through foods and drinks have high sugar content, including chocolate
shakes, 62 grams of sugar, and colas, 44 grams, in 16-oz. servings as per the USDA. Fast food
coleslaw, French toast sticks and even cheeseburg
Acct. 3311, Ch 5, Slide 1, Richard S. Mark
Three General Classifications
LCM Example Individual Items
Intermediate Accounting, Chapter 9-Inventory - Copyright Richard S. Mark Slide 5
LCM Method Comparison
Intermediate Accounting, Chapter 9-Inventory - Copyright Richard S. Mark Slide 6
LCM - Example
Remmers Company manufa
Current Liabilities and
Acct. 3311, Ch. 13, Slide 1, Richard S. Mark
Probable future economic sacrifices of an entitys
from past transactions.
Depreciation, Depletion, Amortization
(DD&A) and Impairment
Acct 3311, Ch. 11 DD&A, Slide 1, Richard S. Mark
Allocates tangible asset costs among
the assets revenue-earning periods.
Depreciable base (e.g
Intangible Asset Types
trademarks or trade names,
Internet domain names, and
Life of creator + 70 years.
Acct 3311, Ch. 12 Intangibles Richard S. Mark
Acct 3311, Ch 7, Slide 1, Richard S. Mark
The amount of time expected
to elapse until an asset is converted into
Liquidity is an indicatio
p Identifying Inventory
p Measuring Inventory Costs
Richard S. Mark
p Held for sale;
p Used or consumed in making goods for
The Accounting Information
Acct 3311, Ch 3 Slide1, Richard S. Mark
system of checks and balances designed
to accomplish a number of accounting as
well as non-accounting purposes.
and detect fraud and errors;
Capitalize vs. Expense
Question 1: Does the amount spent (services, money,
other property) improve/enhance/increase our future
Extends useful life.
Question 2: Does the amount spent (services, money,
Simple Interest - Example
At the first day of the year, Client borrows $20,000 for 3
years at a rate of 7% per year. What is our clients
annual interest cost? How much, in total, will Client pay
after 3 years?
Interest rate x
Acct. 3311, Ch 4, Slide 1, Richard S. Mark
by service firms, banks, utilities.
by merchandising and manufacturing firms.
Based on a contract (bond indenture)
A sum certain;
At a stated future date; together with
Acct 3311, Ch. 14 - Liabilities, Slide 3, Richard S. Mark
entitys financial information should be
useful to users in making their investment
Acct 3311 Chapter 1 Richard S. Mar