19 Dwight Howard, 2004-present. Everything was going so well for Howard in his first seven NBA seasons. He was popular, a well-liked endorser and dunk contest champion. He was the three-time Defensive Player of the Year, a three-time rebounding champion and the runner-up for 2010-11 MVP.
Prepare an adjustment for merchandise inventory under the periodic inventory system. The adjustment for merchandise inventory under the periodic inventory system re-. quires two adjusting entries. In the first adjusting entry (to remove the beginning in-. ventory), debit Income Summary and credit Merchandise Inventory. In the second. adjusting entry (to enter the ending inventory), debit Merchandise Inventory and. credit Income Summary. 3. Prepare an adjustment of unearned revenue. For revenue received in advance, an adjustment is required to separate the portion. that has been earned from the portion that is unearned.
Find in your records your ending inventory balance and the amount of new inventory you have purchased during the period. In this example, assume your ending inventory balance was $20,000, and that you purchased $3,000 in new inventory during the period. Step 3. Add ending inventory and cost of goods sold. In this example, add $20,000 in ending inventory and $5,000 in cost of goods sold to get $25,000. Subtract the amount of inventory purchased from your result to calculate beginning inventory.