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Effect of Inventory Errors During the taking of its physical inventory on December 31, 20Y3, Kate's Interiors Company incorrectly counted its inventory as $376,780 instead

Effect of Inventory Errors

During the taking of its physical inventory on December 31, 20Y3, Kate's Interiors Company incorrectly counted its inventory as $376,780 instead of the correct amount of $414,460. Indicate the effect of the misstatement on Kate's Interiors's December 31, 20Y3, balance sheet or income statement for the year ended December 31, 20Y3. For each, select if the amount is overstated or understated. Then, input the over or under amount, entered as a positive value.

Cost of goods sold

Balance SheetIncome StatementIncome Statement

OverstatedUnderstatedNo effectOverstated

$________
Current assets

Balance SheetIncome StatementBalance Sheet

OverstatedUnderstatedNo effectUnderstated

$________
Gross profit

Balance SheetIncome StatementIncome Statement

OverstatedUnderstatedNo effectUnderstated

$________
Inventory

Balance SheetIncome StatementBalance Sheet

OverstatedUnderstatedNo effectUnderstated

$________
Net income

Balance SheetIncome StatementIncome Statement

OverstatedUnderstatedNo effectUnderstated

$________
Stockholders' equity

Balance SheetIncome StatementBalance Sheet

OverstatedUnderstatedNo effectUnderstated

$________
Total assets

Balance SheetIncome StatementBalance Sheet

OverstatedUnderstatedNo effectUnderstated

$________

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