In 2018, Winslow International, Inc.’s controller discovered that ending inventories for 2016 and 2017 were overstated by $270,000 and $570,000, respectively.Determine the effect of the errors on retained earnings at January 1, 2018. (Ignore income taxes.)

Intermediate Accounting: Reporting And Analysis
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ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
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Chapter22: Accounting For Changes And Errors.
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Problem 11P: A review of Anderson Corporations books indicates that the errors and omissions pertaining to the...
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In 2018, Winslow International, Inc.’s controller discovered that ending inventories for 2016 and 2017 were overstated by $270,000 and $570,000, respectively.

Determine the effect of the errors on retained earnings at January 1, 2018. (Ignore income taxes.)

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