Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

019, Betty Harris Corporation reported current assets of $389,780 and current liabilities of $189,600. The following items may have been recorded incorrectly 1 Goods purchased

image text in transcribed
image text in transcribed
019, Betty Harris Corporation reported current assets of $389,780 and current liabilities of $189,600. The following items may have been recorded incorrectly 1 Goods purchased costing $20,180 were shipped to.b, shipping point by a supplier on December 28. Harris received and recorded the invoice on December 29, 2019, but the goods were not included in Harris's physical count of inventory because they were not received until January 4, 2020, 2 Goods purchased costing $15,740 were shipped to.b.destination by a supplier on December 26. Harris received and recorded the invoice on December 31, but the goods were not included in Harris's 2019 physical count of inventory because they were not received until January 2, 2020. 3. Goods held on consignment from Claudia Kishi Company were included in Harris's December 31, 2019, physical count of inventory at $13,700. 4. Freight-in of $2,750 was debited to advertising expense on December 28, 2019. Compute the current ratio based on Harris's balance sheet. (Round ratio to 2 decimal places, es. 2.31:1.) The current ratio :1 e Textbook and Media Recompute the current ratio after corrections are made. (Round ratio to 2 decimal places, es. 2.31:1.) The current ratio e Textbook and Media By what amount will income (before taxes) be adjusted up or down as a result of the corrections? Assume that goods are sold in item #4. Adjust Income $ e Textbook and Media

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

External Audit Auditing Business Functions And Assets

Authors: Bart Rohman

1st Edition

B0B5NR6TB6, 979-8839201767

More Books

Students also viewed these Accounting questions

Question

Find Vo in the circuit shown. 40 10 5V 20 40

Answered: 1 week ago

Question

What are negative messages? (Objective 1)

Answered: 1 week ago