Question
Sandhill, Inc. is a calendar-year corporation whose financial statements for 2020 and 2021 included errors as follows: Year Ending Inventory Depreciation Expense 2020 $404000overstated $350000overstated
Sandhill, Inc. is a calendar-year corporation whose financial statements for 2020 and 2021 included errors as follows:
Year Ending Inventory Depreciation Expense
2020 $404000overstated $350000overstated
2021 136000understated 102000understated
Assume that purchases were recorded correctly and that no correcting entries were made at December 31, 2020, or at December 31, 2021. Ignoring income taxes, by how much shouldSandhill's retained earnings be retroactively adjusted at January 1, 2022?
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Fundamental Accounting Principles
Authors: Larson Kermit, Tilly Jensen
Volume I, 14th Canadian Edition
71051503, 978-1259066511, 1259066517, 978-0071051507
