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Peach Inc.'s financial statements for the years 2019 and 2020 contained errors as follows: Ending Inventory Depreciation Expense 2012 $3,000 understated 5,500 overstated 2020 $5,000

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Peach Inc.'s financial statements for the years 2019 and 2020 contained errors as follows: Ending Inventory Depreciation Expense 2012 $3,000 understated 5,500 overstated 2020 $5,000 overstated 3,500 overstated Assuming that none of the errors were detected or corrected by what amount will retained earnings at December 31, 2020 be overstated or understated? Ignore taxes. $8,500 understated O $11,500 understated O $5,000 overstated O $4,000 understated On January 1, 2020, Bellair Ltd. decided to discontinue its plastics making division. The division, considered a reportable segment, was sold on June 1, 2020. Division assets with a carrying value of $812,500 were sold for $625,000. Operating income from January 1 to May 31 for the division was $62,500. Ignoring taxes, what amount should be reported on Bellair's income statement for the year ended December 31, 2020, under the caption "discontinued operations"? O $250,000 gain O $125,000 loss $62,500 gain O $187.500 loss Gerald Bone, M.D., keeps his accounting records on the cash basis. During 2020, Dr. Bone collected $150,000 from his patients. At December 31, 2019, Dr. Bone had accounts receivable of $45,000. At December 31, 2020, Dr. Bone had accounts receivable of $35,000 and unearned revenue of $5,000. On the accrual basis, how much was Dr. Bone's patient service revenue for 2020? O $140,000 O $105,000 O $145.000 O $135.000 Oskar Corp.reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted trial balance at December 31, 2020, included the following expense accounts: Accounting and legal fees Advertising Freight-out Interest Loss on sale of long-term investments Officers' salaries Rent for office space Sales salaries and commissions $120,000 150,000 75,000 60,000 30,000 180,000 160,000 110,000 One-half of the rented premises is occupied by the sales department. How much of the expenses listed above should be included in Oskar's general and administrative expenses for 2020? O $380.000 O $440,000 O $410,000 O $470,000

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