PART A

Effects of Errors on Financial Statements For a recent period, the balance sheet for Save-A-Lot Corporation reported accrued expenses of $451,865. For the same period, Save-A-Lot reported income before income taxes of $146,856. Assume that the adjusting entry for $451,865 of accrued expenses was not recorded at the end of the current period What would have been the income (loss) before income taxes? Income before taxes Loss before taxes