BIDE formula:
Beginning Balance + Increases - Decreases =
Ending Balance
Inventory
Inventory (units)
Cash
Beginning Balance Inventory + Purchases - COGS = Ending Balance Inventory
Beginning Balance Inventory (Units) + Purchases (Units) - Sales (Units) = Ending Balance Inventory
Beginning Balance Cash + Cash Receipts - Cash Disbursements = Ending Balance Cash
Accounts Payable
Beginning Balance Accounts Payable + Purchases - Cash Disbursements = Ending Balance Accounts
Accounts Receivable Payable
Beginning Balance Accounts Receivable + Sales - Cash Receipts = Ending Balance Accounts Receivable
Cost of Inventory
•Costs of purchase (including taxes, transport, and handling) net of trade discounts received
•Costs of conversion (including fixed and variable manufacturing overheads)
•Other costs incurred in bringing the inventories to their present location and condition
Depreciation  (cost  residual value) *
Depreciation  book value *
1
Useful life
1
*2
Useful life
Depreciation  (cost  residual value) *
Number of items produced
Expected total number of items produced
𝑃𝑉 = 𝐹𝑉 × (1 + 𝑖𝑑%)−𝑛𝑡
1 − (1 + 𝑖𝑑%)−𝑛𝑡
PV A = A ×
𝑖𝑑%