1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lesya692 [45]
3 years ago
5

At december​ 31, 2018​,stevenson company overstated ending inventory by​ $36,000. how does this error affect cost of goods sold

and net income for 2018​?
Business
1 answer:
jarptica [38.1K]3 years ago
5 0

The Cost of Good Sold is $36,000 lower than it should have been and the net income is $36,000 higher than it should have been.

There are two formulas that are important to know for this question. The first is Beg. Inventory + Purchases - Ending Inventory = COGS. The second formula is Sales - Cost of Good Sold = Gross Profit.

If you reported a higher ending inventory it is going to result in a lower value for Cost of Good Sold. In this case the company had too high of an ending inventory by $36,000, which mean that the COGS is $36,000 lower than actual.

When you have a COGS that is lower than it should be you are going to have a gross profit which is overstated. The Income is overstated by $36,000.

You might be interested in
Suppose you are building a scatter plot in Excel for a large amount of data. After selecting the scatter plot option, how do you
horrorfan [7]

Answer:

c. By using the Select Data button and the Select Data Source option

Explanation:

A scatter plot is a plot which is used to plot the points of the data on the horizontal and the vertical axis also it depicts how one variable is affected by the another.

After preparing the scatter plot to enter the data in the scatter plot we need to use the data button and then data source option so that the data could be entered in the scatter plot

hence, option c is correct

4 0
3 years ago
Help with an opening message
san4es73 [151]

Answer:

opening message: "Thank you for all your hard work and dedication with your position. "

Explanation:

employers dont desire a "high- turnover" rate with employees. especially people who do the job well after so many years. they want dependable staff that are knowledgeable in their department. Insults get an employer nowhere. a company spends valuable funds training new employees.

employees that quit after on the job training, costs a company more $ in profit funds then any other department.

6 0
3 years ago
Which statement is false?
WINSTONCH [101]

Option B, The predetermined overhead allocation rate is based on actual costs.

Explanation:

The term "pre-set overall rate" refers to the allocation rate at the outset of a project, which is based on the expected cost of overhead output for a certain reporting period.

This rate is often used to make book closure quicker as it eliminates estimation of real overhead costs as part of the closing process at the end of the period. Nevertheless, at least at the end of every fiscal year, the disparity between the real and expected overhead sums must be reconciled.

The predetermined rate is derived by calculation as follows:

Estimated amount of manufacturing overhead to be incurred in the period ÷ Estimated allocation base for the period

3 0
3 years ago
You’re a career counselor for Tim, an air conditioner unit installer who is depressed because he sees his career as going nowher
jeka94
<span>The goal here is to give someone advice on their career options. You should find someone you are close to and think of them and then imagine how you would converse about this with them. In the conversation, fin out what Tim's goals are as well as what things he has tried in the past. Find out what he believes he is capable of doing and how he feels about going to school to learn a new trade.</span>
8 0
3 years ago
Because we often cant choose who our coworkers will be we should
Vanyuwa [196]
Practice working with others even if you don't fell comfortable with this person, or necessarily like them at all.
6 0
3 years ago
Other questions:
  • Mark Ventura has just purchased an annuity to begin payment two years from today. The annuity is for $8,000 per year and is desi
    13·1 answer
  • Unsystematic Risk:a. can be effectively eliminated by portfolio diversificationb. is compensated for the risk premiumc. is measu
    13·1 answer
  • If Barcelona has a core staff of restaurant managers and head chefs and contracts with staffing agencies to fill all other posit
    12·1 answer
  • Credit granted by retailers to consumers who purchase for personal or family use is referred to as answer
    11·1 answer
  • On the balance sheet, the lease liability is measured as ________. B) the present value of the lease payments less the present v
    9·1 answer
  • Which of the following would be categorized as an opportunity cost?
    6·1 answer
  • As a functional area of business, _____ measures, summarizes, and communicates financial and managerial information and advises
    10·1 answer
  • Given question three, what is the equilibrium quantity​
    8·1 answer
  • What is the price elasticity of supply when the price rises from $2 to $4
    11·1 answer
  • within just a few years of its inception, uber was operating in more than 35 countries around the world. by moving into new mark
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!