Use the following to answer questions 39 –40 MATCH... For each of the following independent situations, fill in the blanks to indicate the effect of the error on each of the various financial statement items. Assume that each of the companies uses a periodic inventory system. Indicate: (A) an understatement (B) an overstatement or (C) no effect, correct Balance Sheet Income Statement Net Income Ending Inventory Earnings Retained Cost of Error Goods Sold 39. Understated EI in year 1, affect on items in year 1. a. b. с. d. 40. JUnderstated EI in year 1, affect on items in year 2. Ja. b. d. с.

Use the following to answer questions 39 –40 MATCH... For each of the following independent situations, fill in the blanks to indicate the effect of the error on each of the various financial statement items. Assume that each of the companies uses a periodic inventory system. Indicate: (A) an understatement (B) an overstatement or (C) no effect, correct Balance Sheet Income Statement Net Income Ending Inventory Earnings Retained Cost of Error Goods Sold 39. Understated EI in year 1, affect on items in year 1. a. b. с. d. 40. JUnderstated EI in year 1, affect on items in year 2. Ja. b. d. с.

Name: Use the following to answer questions 39 –40MATCH... For each of the
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Description: Use the following to answer questions 39 –40MATCH... For each of the following independentsituations, fill in the blanks to indicate the effect of the erroron each of the various financial statement items. Assumethat each of the companies uses a per

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter5: Inventories And Cost Of Goods Sold

Section: Chapter Questions

Problem 5.13E

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