During the current accounting period Page Company makes the following errors. The company uses a perpetual inventory
Question:
Required
Indicate the effect of the errors on the net income, total assets, total liabilities, and total stockholders equity at the end of the accounting period by using the following code: O = overstated, U = understated, N = no effect. Disregard incometaxes.
Transcribed Image Text:
Total Net To Total Stockholders Error Income Assets Liabilities Equity Example: Failed to record a cash sale 1. The purchase of equipment for cash is recorded as LI LI LI a debit to Equipment and a credit to Accounts Payable. 2. Failed to record the purchase of inventory on credit. 3. Cash received from a customer in payment of its account is recorded as if the receipt were for a current period sale. 4. Pailed to record a credit sale. 5. At the end of the year the receipt of money from a 60-day 12% bank loan is recorded as a debit to Cash and a credit to Sales Revenue. Failed to record depreciation at the end of the current period 6.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 75% (16 reviews)
Error Net Income Total Assets Total Liabilities Total Stockhold...View the full answer
Answered By
Ashington Waweru
I am a lecturer, research writer and also a qualified financial analyst and accountant. I am qualified and articulate in many disciplines including English, Accounting, Finance, Quantitative spreadsheet analysis, Economics, and Statistics. I am an expert with sixteen years of experience in online industry-related work. I have a master's in business administration and a bachelor’s degree in education, accounting, and economics options.
I am a writer and proofreading expert with sixteen years of experience in online writing, proofreading, and text editing. I have vast knowledge and experience in writing techniques and styles such as APA, ASA, MLA, Chicago, Turabian, IEEE, and many others.
I am also an online blogger and research writer with sixteen years of writing and proofreading articles and reports. I have written many scripts and articles for blogs, and I also specialize in search engine
I have sixteen years of experience in Excel data entry, Excel data analysis, R-studio quantitative analysis, SPSS quantitative analysis, research writing, and proofreading articles and reports. I will deliver the highest quality online and offline Excel, R, SPSS, and other spreadsheet solutions within your operational deadlines. I have also compiled many original Excel quantitative and text spreadsheets which solve client’s problems in my research writing career.
I have extensive enterprise resource planning accounting, financial modeling, financial reporting, and company analysis: customer relationship management, enterprise resource planning, financial accounting projects, and corporate finance.
I am articulate in psychology, engineering, nursing, counseling, project management, accounting, finance, quantitative spreadsheet analysis, statistical and economic analysis, among many other industry fields and academic disciplines. I work to solve problems and provide accurate and credible solutions and research reports in all industries in the global economy.
I have taught and conducted masters and Ph.D. thesis research for specialists in Quantitative finance, Financial Accounting, Actuarial science, Macroeconomics, Microeconomics, Risk Management, Managerial Economics, Engineering Economics, Financial economics, Taxation and many other disciplines including water engineering, psychology, e-commerce, mechanical engineering, leadership and many others.
I have developed many courses on online websites like Teachable and Thinkific. I also developed an accounting reporting automation software project for Utafiti sacco located at ILRI Uthiru Kenya when I was working there in year 2001.
I am a mature, self-motivated worker who delivers high-quality, on-time reports which solve client’s problems accurately.
I have written many academic and professional industry research papers and tutored many clients from college to university undergraduate, master's and Ph.D. students, and corporate professionals. I anticipate your hiring me.
I know I will deliver the highest quality work you will find anywhere to award me your project work. Please note that I am looking for a long-term work relationship with you. I look forward to you delivering the best service to you.
3.00+
2+ Reviews
10+ Question Solved
Related Book For
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
Question Posted:
Students also viewed these Accounting questions
-
During the current accounting period, Page Company makes the following errors. The company uses a perpetual inventory system. Required: Indicate the effect of each error on the net income, total...
-
During July, Laesch Company, which uses a perpetual inventory system, sold 1,240 units from its LIFO-based inventory, which had originally cost $18 per unit. The replacement cost is expected to be...
-
You are considering investing in a bank account that pays a nominal annual rate of 7%, compounded monthly. If you invest $3,000 at the end of each month, how many months will it take for your account...
-
Part A Light has both a wave and a particle nature. Particles have a wave nature as well, and therefore All particles decay with a certain characteristic lifetime. Their position can not be specified...
-
Selected information is available for Tim Hortons Inc. and Starbucks Corporation for a recent fiscal year: ________________________________Tim Hortons..............................Starbucks...
-
The commercial loan operation of a financial institution has a standard for processing new loan applications in 24 hours. Table 7E.2 shows the number of applications processed each day for the last...
-
Discuss the payment of receipt of a commission by an accountant in public practice.
-
Calculating Project NPV Down Under Boomerang, Inc. is considering a new three-year expansion project that requires an initial fixed asset investment of $2.4 million. The fixed asset will be...
-
Deluxe Guard, which used a standard cost accounting system, manufactured 1 5 0 , 0 0 0 boat fenders during the year, using 1 , 1 0 0 , 0 0 0 feet of extruded vinyl purchased at $ 1 . 0 5 per foot....
-
The following information was available to reconcile Montrose Companys book balance of Cash with its bank statement balance as of October 31, 2020: a. After all posting was completed on October 31,...
-
The Ferdon Company uses a periodic inventory system. The following is partial information from its income statements for 2007 and 2008: Required Fill in the blanks numbered 1 through 6. 2007 2008...
-
At the end of the current year, the controller of the Jodi Corporation discovers the following items of information: 1. Salaries are paid every Friday for a five-day work week. The normal weekly...
-
Net income will be: (a) greater if more higher-contribution margin units are sold than lower-contribution margin units. (b) greater if more lower-contribution margin units are sold than...
-
What characteristics should a full costing system have?
-
What are the advantages and disadvantages of investing in an activity-based costing system?
-
Will the total overhead cost each year calculated by activity-based costing be the same as that for absorption costing? If not, why not?
-
On January 1, 2009, you deposited \($6,000\) in a savings account. The account will earn 10 percent annual compound interest, which will be added to the fund balance at the end of each year. Required...
-
Why is there a need for control and audit of computer systems?
-
An ideal gas at an initial pressure of \(25 \mathrm{~atm}\) and \(315 \mathrm{~K}\) occupies a volume of \(2 \mathrm{~L}\). Determine the entropy of the system for a reversible isothermal expansion...
-
Draw a Feynman diagram for the reaction n + v p + .
-
Verify that (x + p) 2 + q p 2 = x 2 + 2px + q and deduce that ax + bx + c = ax + + + c = a[x 2 b 2a + C. b 4a
-
(Qualitative Characteristics) Accounting information provides useful information about business transactions and events. Those who provide and use financial reports must often select and evaluate...
-
(Qualitative Characteristics) Accounting information provides useful information about business transactions and events. Those who provide and use financial reports must often select and evaluate...
-
(Qualitative Characteristics) Accounting information provides useful information about business transactions and events. Those who provide and use financial reports must often select and evaluate...
-
Research Problem 1 . Charlene and Alton Dutro had lived in their home for two and onehalf years when they decided to enlarge and remodel the house. However, their architect advised them that more...
-
A ) Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and...
-
The Consolidated Statement of Financial Position What is meant by the term "capital structure"? Calculate and explain the following ratios for the current & the prior year: a . Debt Ratio b . Equity...
Study smarter with the SolutionInn App