Question
On December 31, 2015, Owings Corporation overstates the ending inventory account by $5,000. How will this affect Retained Earnings in the December 31, 2016 balance
On December 31, 2015, Owings Corporation overstates the ending inventory account by $5,000. How will this affect Retained Earnings in the December 31, 2016 balance sheet?
Retained Earnings will be overstated by $5,000.Retained Earnings will be understated by $5,000.Cannot be determined with the above information.Retained Earnings will be correctly stated.
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Intermediate Accounting IFRS
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
3rd edition
1119372933, 978-1119372936
