What entry is required in the company's accounts to record outstanding checks? O debit Accounts Receivable; credit Cash Odebit Cash; credit Accounts Receivable debit Cash; credit Accounts Payable no entry required Cost flow is in the reverse order in which costs were incurred when using weighted average last-in, first-out first-in, first-out average cost The days' sales in inventory measures the length of time it takes to acqutre, sell, and replace the inventory length of time it takes to acquire and receive payment for the inventory number of days inventory is on hand prior to sale number of days inventory takes to arrive after ordering A bank reconciliation should be prepared periodically because the company's records and the bank's records are in agreement the bank has not recorded all of its transactions any differences between the company's records and the bank's records should be determined, and any errors made by either party should be discovered and corrected the bank must make sure that its records are correct Merchandise inventory at the end of the year is overstated. Which of the following statements correctly states the effect of the error? Owner's equity is overstated. Cost of merchandise sold is overstated. Gross profit is understated. Net income is understated