Answer:
C. Net income and stockholders' equity are both overstated.
Explanation:
In the income statement , ending inventory is deducted from the addition of the beginning inventory and net purchases to arrive at the cost of goods sold. Therefore, the cost of goods can be stated as an equation stated as follows:
Cost of goods sold = Beginning inventory + Net purchases - Ending inventory
From the above equation, it can be observed that if the ending inventory is overstated, cost of goods sold will be understated by that amount.
Since gross income is determined by deducting cost of goods sold from the net sales, an understated cost of goods sold will result in an overstated gross income and subsequently overstated net income.
Since net income is one of the components of the stockholders' equity, an overstated net income will leads to an overstated stockholders' equity.
Therefore, the correct option is C. Net income and stockholders' equity are both overstated.
Im pretty sure its 2) Fixtures
Sorry if its wrong
Answer:
In a command economy, the goods and services that a country produces, the quantity in which they are produced, and the prices at which they are sold are planned by the government
The government plans the goods and services that a country produces, the quantity in which they are produced, and the price at which they are sold.
The perfect home brokerage firm was found guilty of running deceptive ads. The federal trade commission might require all of the following except Letters of apology to all affected consumers.
<h3>
What is the federal trade commission?</h3>
The Federal Trade Commission is an independent agency of the United States government whose primary objective is to enforce civil antitrust law in the United States and to promote consumer protection.
The FTC and the Department of Justice Antitrust Division share authority over federal civil antitrust enforcement.
The federal trade commission is essentially a police that protects trade especially consumers.
Learn more about federal trade commission;
brainly.com/question/8244775
#SPJ1
