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What is the combined effect on net income of a $ understatement error to ending inventory for the twoyear period if the error is not corrected? Net income will be overstated by $ Net income will be understated by $ The errors are cumulative and the total net income error will be double. The errors cancel out and the total net income for the two periods will be correct.
What is the combined effect on net income of a $ understatement error to ending inventory for the twoyear period if the error is not corrected?
Net income will be overstated by $
Net income will be understated by $
The errors are cumulative and the total net income error will be double.
The errors cancel out and the total net income for the two periods will be correct.
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Managerial Accounting
Authors: Kurt Heisinger, Joe Ben Hoyle
1st Edition
1453345299, 9781453345290
