Module 1: Chapter 2: Other Questions (To be posted as a group assignment in your group discussion area) 1. What effect will an overstatement of the finished goods inventory at the end of a year have on the following items in (a) the year of overstatement and (b) the following year: i. Cost of Goods Sold ii. Gross Margin iii. Operating Expenses iv. Net Income 2. You have accidentally recorded president's salary as a factory overhead expense. What effect will this misclassification error have on the following items: Factory Overhead i. ii. Total Manufacturing Cost iii. iv. Cost of Goods Manufactured Operating Expenses V. Net Income vi. Unit Cost