SHADOW BONE Company reported net income of P7,500,000 for the current year: The auditor raised questions about the following amounts that has been included in net income: Unrealized loss on foreign currency translation Gain on early retirement of bonds payable Debit adjustment of profit of prior year for error in depreciation, net of tax effect 500,000 2,200,000 750,000 Loss from fire. 1,400,000

SHADOW BONE Company reported net income of P7,500,000 for the current year: The auditor raised questions about the following amounts that has been included in net income: Unrealized loss on foreign currency translation Gain on early retirement of bonds payable Debit adjustment of profit of prior year for error in depreciation, net of tax effect 500,000 2,200,000 750,000 Loss from fire. 1,400,000

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.23E: Unusual income statement items Assume that the amount of each of the following items is material to...

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The Company reported net income of P7,410,000 for the current year. The following items are included in the net income:Unrealized gain on foreign translation540,000 Gain on early retirement of bonds payable 2,200,000 Adjustment of profit of prior year for error in depreciation (net of tax) 750,000Loss on fire (1,400,000). What amount should be reported as adjusted net income?
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