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When a company owes employee salaries at the end of the period but fails to make an adjusting entry for that amount owed, which of
When a company owes employee salaries at the end of the period but fails to make an adjusting entry for that amount owed, which of the following is true?
Net income in the income statement is overstated.
Retained earnings in the statement of stockholders' equity is overstated.
Total stockholders' equity in the balance sheet is overstated.
All of the other answers are correct.
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