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Decisions Required: (a) Is the 2017 gross profit rate consistent with past years? If not, what areas would you investigate for potential errors and why?

Decisions Required: (a) Is the 2017 gross profit rate consistent with past years? If not, what areas would you investigate for potential errors and why? (b) What adjustment would you suggest to the current perpetual inventory records given all the issues identified above? (c) At what value should the closing stock be recorded? (d) What journal entries are required to record your adjustments and what is the effect on the accounts?

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