i. Teresa Company began the period with 10 units in inventory, costing $5each. During the period the company purchased 100 units at a cost of $5 each. At the end of the period there were 13 units left on hand. What is the correct amount that should appear on the income statement for the period and on the balance sheet at the end of the period? Income Statement Balance Sheet 1) Cost of goods sold, $500 Inventory, $550 2) Inventory, $485 Cost of goods sold, $550 3) Cost of goods sold, $65 Inventory, $485 4) Cost of goods sold, $485 Inventory, $65 j. Which of the following is not an advantage of the corporate form of business organization? 1) unlimited liability 2) Separate legal entity 3) continuous existence 4) No mutual agency Question 2 The following balance sheet contains errors. Billy Brown Services Co. Balance Sheet For the Year Ended December 31, 2021 A ssets Current assets: Liabilities Current liabilities: Cash 11: 6,170 Accounts receivable $ 9,000 Accounts payable 8,500 Accum. dept-building 13,525 Supplies 1,590 Aceum. dept-equipment 6,340 Prepaid insurance 345 Net income E. Land ism Total current assets $41,605 Total liabilities $ 41.365 Owner's 13qu Property, plant, and Wages payable $ 500 equipment Building $45,500 Billy Brown. capital 74% Equipment ,m Total owner's equity _$i Total property, plant, and equipment 411 Total liabilities and Total assets $116,355 owner's equ1ty $116,355 Required a. List the errors in the balance sheet above, b. Prepare a corrected balance sheet. 0. Compared with the cash basis, what are the advantages and the disadvantages of the accrual basis