X Chapter 2 p?file=%2F1026503%2Fmod_assign%2Fintroattachment%2F%2FA%20%20theory%20final9620%20E Accumulated Other Comprehensive Income Beginning Balance 5,000 What would JADARA Inc. report as total stockholders' equity? PART III (4 points) answer only one of the following two questions 1- Briefly explain the historical cost principle and why it is still supported by the accounting profession include in your answers major criticism and advantages of HC). 2. Briefly explain the Capital Maintenance Concept (CMC) and the primary difference between the two form of CMC and how they are related to the Income Concept in accounting? Part 4/6 points): During 2012 the company discovered the following accounting errors 1- the machine has been mistakenly depreciated based on S years instead of 6 years In July 1 2009, XYZ corporation Acquired an equipment on July 2009 at cost of $16000 the estimated useful life for the machine 6 years and the residual value SIODO. Company use SLM for depreciation 2 Ending inventory for year 2009 was overstated by $ 1800 3- Ending investory for year 2010 was understated by S2000 Company subject to income tax rate 40% Show the dollar amount of the combined effect, if any, and the nature of the effect overstatement or understatement or correct of these accounting errors on the Esporting value of the following financial statement items as in the following table FSitems the combined impact on reporting value of FS items NI 2009 Total Assets Dec 31 2010 Owners Equity Dec 31 2010 Total Liabilities