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QUESTION 12 You have been assigned to examine the financial statements of PC corp. for the year ended December 31, 2020, as prepared following IFRS
QUESTION 12 You have been assigned to examine the financial statements of PC corp. for the year ended December 31, 2020, as prepared following IFRS You discover the following situations: 1- Physical inventory count on Dec 31, 2019, improperly included merchandise costing $3,800 that had been sold but not delivered until Jan 5, 2020. PC uses a periodic inventory system 2- At the beginning of 2019, the company purchased equipment for $225,000 (residual value $22,500) and had useful life of 6 years. The accountant used straight-line amortization but failed to the residual value in the calculation of the depreciation 3- On Dec 31, 2017, accrued wages of $1,500 were not recognized and not recorded. Required: Prepare the Journal Entries that need to correct the errors
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