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Doh Inc. provides you the following income statements: 2019 2020 Sales $75,000 $90,000 Less: Expenses COGS 45,000 54,000 Operating Expenses 15,000 15,000 Net Income $15,000
Doh Inc. provides you the following income statements: 2019 2020 Sales $75,000 $90,000 Less: Expenses COGS 45,000 54,000 Operating Expenses 15,000 15,000 Net Income $15,000 $21,000 Compute the correct net income for the two years assuming that the inventory at the end of 2019 was understated $5,000 and the inventory at the end of 2020 was overstated $3,000.
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