For the year ending December 31, Beard Clinical Supplies Co mistakenly omitted adjusting entries for (1) $9,800 of unearned revenue that was earned, (2) earned revenue that was not billed of $10,200, and (3) accrued wages of $7,000 . Indicate the combined effect of the errors on (a) revenues, (b) expenses, and (c) net income
(a) Revenues were understated by $20,000 ($9,800 + $10,200).
(b) Expenses were understated by $7,000.
(c) Net income was understated by $13,000 ($20,000 ? $7,000).
You might also like to view...
When analyzing foreign statements, all of the following are accurate positions of non-current liabilities listings except:
a. After current liabilities b. Before current liabilities c. After share capital d. After total equity
Which of the following is a global pricing strategy used by organizations when the domestic currency is weak?
A) maximizing expenditures in host-country currency B) billing foreign customers in the domestic currency C) shifting sourcing to domestic market D) improving productivity and engaging in cost reduction
Conficker is an example of a:
A. virus. B. worm. C. Trojan horse. D. botnet.
Distinguish between escapable and inescapable costs. Give an example