Keats Co.’s beginning inventory at January 1, 2010, was understated by £26,000, and its ending inventory...
Homework Answers
Understatement of Beginning inventory = Understatement of Cost of goods sold
Overstatement of Ending inventory = Understatement of Cost of goods sold
So, here the cost of goods sold is understated by a total of £78,000 [ i.e. understatement of £26,000 + understatement of £52,000 ]
So, the answer is option c [ understated by £78,000 ]
Add Answer to:
Keats Co.’s beginning inventory at January 1, 2010, was
understated by £26,000, and its ending inventory...
Poppy Co. uses a periodic inventory system. Beginning inventory on January 1 was understated by $31,400,...
Poppy Co. uses a periodic inventory system. Beginning inventory on January 1 was understated by $31,400, and its ending inventory on December 31 was understated by $16,300. In addition, a purchase of merchandise costing $20,500 was incorrectly recorded as a $2,050 purchase. None of these errors were discovered until the next year. As a result, Poppy's cost of goods sold for this year was: Multiple Choice Understated by $49,850. Overstated by $3,350. Understated by $33,550. Overstated by $33,550.
77) Given the following data: Ending inventory at cost $24,000 Ending inventory at current net realizable...
77) Given the following data: Ending inventory at cost $24,000 Ending inventory at current net realizable value 23,600 Cost of goods sold (before consideration of the lower-of-cost-and-net-realizable-value rule) 37,000 Which of the following depicts the proper account balance after the application of the lower-of-cost-and-net realizable value rule? A) Cost of goods sold will be $37,400. B) Cost of goods sold will be $36,400. C) Cost of goods sold will be $37,000. D) Ending inventory will be $24,000. 78) Inventory at...
1) Janes Company incorrectly omitted $50,000 of merchandise from its 2010 ending inventory. In addition, a...
1) Janes Company incorrectly omitted $50,000 of merchandise from its 2010 ending inventory. In addition, a merchandise purchase of $20,000 was incorrectly recorded as $2,000 in the purchases account. As a result of these errors, 2010 income (before taxes) is: a) overstated by $32,000. b) understated by $32,000. c) overstated by $68,000 d) understated by $68,000.
8. Fran Company's ending inventory for 2018 is understated by $5,000. The effects of this error...
8. Fran Company's ending inventory for 2018 is understated by $5,000. The effects of this error on the 2018's cost of goods sold and net income, respectively are: a. Understated and overstated b. Overstated and understated c. Overstated and overstated d. Understated and understated 9. In selecting an inventory costing method, give one issue that might be considered as part of the decision process.
If ending inventory is understated for Year 1, then in Year 2: Question 4 options: A)...
If ending inventory is understated for Year 1, then in Year 2: Question 4 options: A) cost of goods sold will be understated and gross profit will be overstated. B) cost of goods sold and gross profit will both be overstated. C) cost of goods sold and gross profit will both be understated. D) cost of goods sold will be overstated and gross profit will be understated. Which statement is FALSE? Question 6 options: A) IFRS does not permit the...
26. If ending inventory is understated by $10,000, the effect of this error in the current...
26. If ending inventory is understated by $10,000, the effect of this error in the current period COGS a. Understated b. Overstated c. Understated d. Overstated Net Income Understated Overstated Overstated Understated
TET ş If in 2018 ending inventory is over stated by $ 13,000, what will happen to Net income for the following year...
TET ş If in 2018 ending inventory is over stated by $ 13,000, what will happen to Net income for the following year? A) Overstated by $ 26,000 B overstored by 873,000 c) understated by $13,000 Dunderstated by BRQ 000 $26,000 ad if in 2018 ending cost of goods sold is overstated by $22,000 what will happen to the ending inventory of the following year? A) understated by $22,000 By cannot be determined without knowing it accounts recrtabes increacd or...
If the beginning inventory is overstated: 1.the current ratio is overstated. 2.cost of goods sold is...
If the beginning inventory is overstated: 1.the current ratio is overstated. 2.cost of goods sold is understated 3.retained earnings is understated. 4.working capital is understated. Wavy Inc. is a calendar-year corporation. Its financial statements for the years 2017 and 2016 contained errors as follows: 2017 2016 Ending Inventory $9,000 overstated $18,000 overstated Depreciation Expense $6,000 understated $13,500 overstated Assume that the proper correcting entries were made at December 31, 2016. By how much will 2017 income before taxes be overstated...
A company understated its ending inventory balance by $8,000 in 2021. What impact will this error have on cost of good...
A company understated its ending inventory balance by $8,000 in 2021. What impact will this error have on cost of goods sold and gross profit in 2021 and 2022? Cost of goods sold Gross profit Understated Understated 1 $ $ 2021 8,000 8,000 Cost of goods sold Gross profit Not affected Not affected 2022 $ S 0 0
Cage Trading Inc. counted $2,000 of inventory twice during its December 31, 2016 physical inventory count....
Cage Trading Inc. counted $2,000 of inventory twice during its December 31, 2016 physical inventory count. Its December 31, 2017 inventory amount is correct. As a result of this error, 2016 ending inventory is overstated by $2,000. 2016 income is understated by $2,000. 2017 income is overstated by $2,000. 2017 cost of goods sold is understated by $2,000. Question 4 2 pts Kemp Clothing has cost of goods sold of $14,000 with beginning and ending inventories of $4.000 and $2,000....
8. Fran Company's ending inventory for 2018 is understated by $5,000. The effects of this error on the 2018's cost of goods sold and net income, respectively are: a. Understated and overstated b. Overstated and understated c. Overstated and overstated d. Understated and understated 9. In selecting an inventory costing method, give one issue that might be considered as part of the decision process.
26. If ending inventory is understated by $10,000, the effect of this error in the current period COGS a. Understated b. Overstated c. Understated d. Overstated Net Income Understated Overstated Overstated Understated
TET ş If in 2018 ending inventory is over stated by $ 13,000, what will happen to Net income for the following year? A) Overstated by $ 26,000 B overstored by 873,000 c) understated by $13,000 Dunderstated by BRQ 000 $26,000 ad if in 2018 ending cost of goods sold is overstated by $22,000 what will happen to the ending inventory of the following year? A) understated by $22,000 By cannot be determined without knowing it accounts recrtabes increacd or...
A company understated its ending inventory balance by $8,000 in 2021. What impact will this error have on cost of goods sold and gross profit in 2021 and 2022? Cost of goods sold Gross profit Understated Understated 1 $ $ 2021 8,000 8,000 Cost of goods sold Gross profit Not affected Not affected 2022 $ S 0 0
Cage Trading Inc. counted $2,000 of inventory twice during its December 31, 2016 physical inventory count. Its December 31, 2017 inventory amount is correct. As a result of this error, 2016 ending inventory is overstated by $2,000. 2016 income is understated by $2,000. 2017 income is overstated by $2,000. 2017 cost of goods sold is understated by $2,000. Question 4 2 pts Kemp Clothing has cost of goods sold of $14,000 with beginning and ending inventories of $4.000 and $2,000....
Most questions answered within 3 hours.
-
Determine the direction of the force that will act on the charge
in each of the...
asked 25 seconds ago -
You purchase your daily coffee at the Chemist’s Coffeehouse and
have a choice of two cups:...
asked 2 hours ago -
Which of the following pairs of chemicals could be used to make
a buffer solution?
A.)...
asked 2 hours ago -
Problem 16-51 Sales
Activity Variance (LO 16-3)Odessa, Inc., reports the following
information concerning operations for the...
asked 3 hours ago -
Pictured on the right are thee point charges Q1 = 18.4 μC, Q2 =
-30.6 μC,...
asked 3 hours ago -
A graduate student is conducting research in psychology and
needs to obtain the IQ scores of...
asked 3 hours ago -
R2.84: There are 2 defective products in a production lot of 10.
An inspector randomly selected...
asked 5 hours ago -
Consider the following equilibrium system: COCl2(g) CO(g) +
Cl2(g) A 10.00 L evacuated flask is filled...
asked 5 hours ago -
1) What are the two distinct steps that one needs to perform
when developing a data...
asked 5 hours ago -
2) Write a C++ program that uses a class called “Degree” to
obtain the trigonometric
values...
asked 6 hours ago -
1. In eukaryotic cells the genomes of
&
asked 6 hours ago -
The standard enthalpy of propanol (C3H7OH) is -303.0 kJ/mol.
Compute both of the
gross and net...
asked 6 hours ago