depreciation of inventory的意思|示意
盘存折旧
depreciation of inventory的用法详解
Inventory depreciation is an accounting term used to establish a portion of the cost of a company's inventory each year as an expense. This is helpful for companies that have a high cost associated with their inventory, such as those in the retail industry. The proper use of inventory depreciation can help companies accurately record the true cost of goods sold, rather than simply relying on inventory that has been purchased.
Inventory depreciation can take many forms, depending on the company's goals. For instance, companies may use a fixed rate of depreciation, where the same amount is deducted from inventory each year. Alternatively, companies may use a accelerated rate of depreciation, where a larger amount is deducted up front and decreases over time. It is important to note that regardless of the method used, depreciation of inventory can only be used for reducing the cost of goods sold.
In order to calculate depreciation of inventory, the company must first determine its total inventory at the beginning of the fiscal year. This includes any goods purchased, as well as any goods that were damaged or destroyed but still remain on the books. The company then subtracts the total amount of inventory at the end of the fiscal year from the total amount at the beginning of the year. This gives the company a figure for the total amount of inventory that was sold during the year.
Once the total amount of inventory sold is known, the company can then calculate the total amount of inventory depreciation. Generally, this is done by dividing the total amount of inventory sold by a predetermined depreciation rate. This rate can be determined by the company's accountant, or chosen by the business itself. Once this rate is established, the business can then deduct the total amount of inventory depreciation from its total inventory each year.
Inventory depreciation is an important accounting tool for businesses with high inventory costs. It allows businesses to accurately record the true cost of goods sold, rather than relying on the value of inventory that was purchased. By using inventory depreciation, companies can also ensure that their financial statements accurately reflect the true cost of goods sold, as well as the overall financial health of the business.
depreciation of inventory相关短语
1、 method of inventory depreciation 盘存折旧法
depreciation of inventory相关例句
Introduces the conditions of concrete application of accounting cautiousness principle in inventory pricing, fixed asset depreciation, business of bad debt loss and asset decrement.
介绍了会计谨慎性原则在我国存货计价、固定资产折旧、坏账损失的核算以及资产减值中具体运用的情况。
Some other balance sheet and income statement items are supposed to be a fixed proportion of sales, such as COCS, SG&A expense, cash, inventory, depreciation, interest, tax and so on.
其他一些资产负债表和利润表项目都应该是销售，如COCS，SG&A费用，现金，存货，折旧，利息，税收等方面的固定比例。
Aggregate profits growth has been flattered by the performance of Wall Street firms and distorted by one-off changes in the accounting treatment of inventory profits and depreciation.
利润总额的增长受益于华尔街公司的业绩才变得光彩夺目，而且由于存货利润和折旧的会计处理的一次性改变而被扭曲。