I need help filling out this chart. Part (C) it's not that long I'm just very confused and added all of the paragraphs I thought would be relevant. Please help me!
2009, (2) October 15, 2009, (3) February 15, 2010, (4) April 15, 2010, (5) May 15, 2010, and (6) August 15, 2010. Also, present the necessary adjusting entries, if any, at the end of Diamond's fiscal year on July 31, 2010. Closing entries need not be presented. Assume that Diamond follows a periodic inventory system. (b) Assume that Diamond would like to manage income by manipulating the recorded cost of walnuts acquired from the farmer. It chooses to record the payment of August 15, 2010 as purchases of the following fiscal year ending July 31, 2011. How would the journal entries in Requirement 4 (a), including adjusting entries, if any, on July 31, 2010 be different? (c) What would be the effect on the financial statement items in the table below of the incorrect recording of the August 15, 2010 payment as purchases of the following year (ending July 31, 2011)? Assume that Diamond follows the periodic inventory system. Indicate the direction (O/S = Overstatement, U/S = Understatement, NE = No effect) as well as the amounts Balance Sheet on 31 July 2010 Balance Sheet on 31 July 2011 o/s, U/s, or NE? Amount o/s, u/S, or NE? Amount Accounts payable Inventory Income Statement for year ending 31 July 2010 Income Statement for year ending 31 July 2011 o/s, u/s, or NE? Amount o/s, U/s, or NE? Amount Purchases Cost of sales Income before taxes (d) If the error in recording the August 15, 2010 payment is discovered on September 15, 2011 (before the books are closed for the fiscal year ending July 31, 2011), what would be the 2009, (2) October 15, 2009, (3) February 15, 2010, (4) April 15, 2010, (5) May 15, 2010, and (6) August 15, 2010. Also, present the necessary adjusting entries, if any, at the end of Diamond's fiscal year on July 31, 2010. Closing entries need not be presented. Assume that Diamond follows a periodic inventory system. (b) Assume that Diamond would like to manage income by manipulating the recorded cost of walnuts acquired from the farmer. It chooses to record the payment of August 15, 2010 as purchases of the following fiscal year ending July 31, 2011. How would the journal entries in Requirement 4 (a), including adjusting entries, if any, on July 31, 2010 be different? (c) What would be the effect on the financial statement items in the table below of the incorrect recording of the August 15, 2010 payment as purchases of the following year (ending July 31, 2011)? Assume that Diamond follows the periodic inventory system. Indicate the direction (O/S = Overstatement, U/S = Understatement, NE = No effect) as well as the amounts Balance Sheet on 31 July 2010 Balance Sheet on 31 July 2011 o/s, U/s, or NE? Amount o/s, u/S, or NE? Amount Accounts payable Inventory Income Statement for year ending 31 July 2010 Income Statement for year ending 31 July 2011 o/s, u/s, or NE? Amount o/s, U/s, or NE? Amount Purchases Cost of sales Income before taxes (d) If the error in recording the August 15, 2010 payment is discovered on September 15, 2011 (before the books are closed for the fiscal year ending July 31, 2011), what would be the
