Answer:
The correct answer is letter "D": net income for the year will be overstated.
Explanation:
Net Income is an important measure of how profitable the company is over a period of time. Net income is calculated by taking the total revenue and subtracting the business expenses which results in the earnings before tax. After taxes are deducted, the amount obtained will be the firm's net income.
Prepaid insurances are considered expenses of a company. Thus, <em>if the payment of the prepaid insurance was not recorded, the net income of the firm will be overstated.</em>
Answer:
$1,258,950 and $5,233,670
Explanation:
The computation is shown below:
For cost of goods sold
= Cost of goods sold - beginning inventory overstated + ending inventory overstated
= $1,338,800 - $114,680 + $34,830
= $1,258,950
Since the ending inventory contains the lesser amount so it would be added and the beginning inventory contains larger amount so it would be deducted
For retained earning
= Retained earning - ending inventory
= $5,268,500 - $34,830
= $5,233,670
The believe the correct answer is a
Answer:
A kopeck is a hundredth of a ruble
1 ruble sales = 0.8516 ruble cost
? Sales = 5,632,000 ruble
Sales = 5,632,000 divide 0.8516 = 6,613,434 rubles
Answer:
A, B, C
Explanation:
Plant assets should be recorded at cost, including all normal and reasonable expenditures necessary to get the asset in place and ready for its intended use. This would include Taxes, Insurance in transit and Shipping charges.
