Answer:
net income was correct and current assets and current liabilities were overstated.
Explanation:
As the Belle company received the merchandise on the consignment also it is recorded as the purchase and get involved the goods in the inventory
So here the impact on the financial statement as on March 31 would be that the net income would be right but the current asset and the current liabilities would be overstated.
hence, the same is to be considered
Prejudging: judging someone before the facts.
<span>A firm might lose its sales revenue and market share if it is unable to respond rivals market strategy to acquire market share. In the given case most probably the firm lost its market share to its rival due to their exerted efforts in one or more. </span>
<span>The contractual standard for product safety and liability that says the buyer chose to make the purchases and knows the each purchase involves informed consent is often referred to as the standard of caveat emptor. This is simply a warning that lets the buyer know and understand the product is sold as is and is subject to all defects. Basically, another way of saying buyer be ware.</span>
