Question
4. Assume that in Year 1, the ending merchandise inventory is overstated by $30,000. If this is the only error in Years 1 and 2,
4. Assume that in Year 1, the ending merchandise inventory is overstated by $30,000. If this is the only error in Years 1 and 2, fill in the items below, indicating which items will be understated, overstated, or correctly stated, for Years 1 and 2.
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| Year 1 | Year 2 |
| Ending merchandise inventory |
|
|
| Beginning merchandise inventory |
|
|
| Cost of goods sold |
|
|
| Gross profit |
|
|
| Net income |
|
|
|
|
|
|
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
13th Edition
9780470374948, 470423684, 470374942, 978-0470423684
