1. Presentation on Merchandise Inventory system Presented by Riad Tanbhir khan Submitted to Mohammad Sakhawat Hossain, MBA(DIU),ACMA(ICMAB), ACCA(UK)Partly Qualified Assistant Professor E-mail: sakhawat@daffodilvarsity.edu.bd

2. Definition of Merchandise All movable goods such as cars, textiles, appliances, etc. and 'f.o.b.' means free on board. The commodities or goods that are bought and sold in business.

3. Related to MERCHANDISE 1.commodities, 2.goods, 3.wares, 4.line;

4. Related to MERCHANDISE export, import; inventory, staples, stock, stuff, supply; job lot; domestics, durables (also durable goods), hard goods

5. Merchandising Merchandising is the methods, practices, and operations used to promote and sustain certain categories of commercial activity.

6. Merchandising Trading industry Retail supply chain licensing

7. Trading industry merchandiser is someone who is continuously involved in business promotion by buying and selling of goods. In Asian countries such as India, this term is more synonymous with activities right from sampling or idea conception to dispatching of the shipment.

8. Retail supply chain all products delivered directly to the store from a manufacturer or wholesaler will be stocked by the manufacturer's/wholesaler's employee who is a full time merchandiser Product categories where this is common are Beverage (all types, alcoholic and non- alcoholic), packaged baked goods (bread and pastries), magazines and books, and health and beauty products.

9. Licensing Trademarked brand names, logos, or character images are licensed to manufacturers of products such as toys or clothing, which then make items in or emblazoned with the image of the license, hoping they'll sell better than the same item with no such image

10. Example Children Merchandising for children is most prominently seen in connection with films and games, usually those in current release and with television shows oriented towards children Adult The most common adult-oriented merchandising is that related to professional sports teams (and their players)

11. What do they do? Research Produce Plane Promote

12. At store Mange stock Create eye catching display Maximise sales

13. Working condition Working hour Panctual Schedule - flexible - Travel around stores

14. Merchandise inventory The current asset which reports the cost of a retailer's, wholesaler's, or distributor's goods purchased to be resold, which have not yet been sold as of the balance sheet date

15. Merchandise inventory system Perpetual inventory system Periodic inventory system

16. Perpetual inventory system Perpetual inventory system updates inventory accounts after each purchase or sale. Inventory subsidiary ledger is updated after each transaction. Inventory quantities are updated continuously

17. Periodic inventory system Periodic inventory system records inventory purchase or sale in "Purchases" account. "Inventory" account is updated on a periodic basis, at the end of each accounting period (e.g., monthly, quarterly). Inventory subsidiary ledger is not updated after each purchase or sale of inventory Inventory quantities are not updated continuously

18. Comparison of entries-perpetual vs periodic (Purchase) DateTransactionPerpetual Inventory system DrCrPeriodic Inventory System DrCr May4Purchase of merchandise on credit Merchandise inventory Accounts payable 3800 Purchases Accounts payable 3800 6Freight costs on purchase Merchandise inventory cash 150 Freight in Cash 150 8Purchase returns & Allowances Accounts payable Merchandise inventory 300 Accounts payable Purchase returns 300 14Payment on Account with a discount Accounts payable Cash Merchandise inventory 3500 3430 70 Accounts payable Cash Purchase Discounts 3500 3430 70

19. Comparison of entries-perpetual vs periodic (Sales) DateTransaction Perpetual Inventory system DrCrPeriodic Inventory System DrCr May 4 Sale of merchandise on credit Account Receivable Sales revenue Cost of goods sold Merchandise inventory 3800 2400 3800 2400 Account Receivable Sales revenue No entry 3800 8 Return of merchandise sold Sales return & Allowance Account Receivable Merchandise inventory Cost of goods sold 300 140 300 140 Sales return & Allowance Account Receivable No entry 300 14 Cash received on account with a discount Cash Sales Discounts Account Receivable 3430 70 3500 Cash Sales Discounts Accounts Receivable 3430 70 3500

20. Perpetual systems maintain a running record to show the inventory on hand at all times. Periodic systems do not keep a continuous record of inventory on hand.