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how to get this answer Questions 1-3. records of the DIRECTIONS: The following information app ing information applies to Questions 1 through 3. following errors

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Questions 1-3. records of the DIRECTIONS: The following information app ing information applies to Questions 1 through 3. following errors in the records During your audit of the Avon Company, you for which the company: Fovo a purchase was Incorrect exclusion from the final inventory of items costing $3,000 for which purchase was not recorded. Inclusion in the final inventory of goods costing $5,000, although a purchas not recorded. The goods in question were being held on consignment from the period. The 3. Reldrey Company. Incorrect exclusion of correct exclusion of $2.000 from the inventory count at the end of the period goods were in transit (FO.B. shipping point); the invoice rau voor received and the purchase recorded. Inclusion of items on the receiving dock that were being held for return to the dor because of damage. In counting the goods in the receiving department, the items were incorrectly included. With respect to these goods, a purchase of $4.00 had been recorded. The records (uncorrected) showed the following amounts: 1. Purchases, $170,000 2. Pretax income, $15,000 3. Accounts payable, $20,000; and 4. Inventory at the end of the period, $40,000. D. $44,000 1. The corrected inventory is A. $36,000 B. $42,000 C. $43,000 2. The corrected income for the year is A. $12,000 B. $15,000 C. $17,000 3. The correct accounts payable liabilities are A. $16,000 B. $17,000 C. $19,000 4. An auditing procedure that is most likely to real D. $18,000 D. $23,000

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