1. Prepare the correcting/adjusting entries:

Chapter 13 (Warranties and Contingent Liability)

Chapter 20 (Leases)

Chapter 18 (Current Tax)

2. Post the entries from (1) to the formatted excel spreadsheeton your Moodle site.

3. After you are done step 2, find the income before income tax expense on the excel spreadsheet LINE 22.

4. To compute the correct income tax expense, use the income before tax expense amount from Step 3 to start thereconciliation between accounting income and taxable income. (Chapter 18). From the reconciliation, compute thecurrent income tax expense and prepare the journal entry.

5. Post the entry(ies) from Step 4 to the excel spreadsheet so that the financial statements can be completed.

6. Find the net income on the excel spreadsheet LINE 24. Use this amount to start the calculation of the required EPS amounts (Chapter 17). Once computed, show the Basic and Fully Diluted EPS amounts on the to the income statement.

7. Write a concise 2 or 3-page memo to the president as requested by him.