In early 2012, Darwins Pet Shop discovered that some of its inventory of dogs were not what
Question:
Required:
a. Record the journal entry for the write-down of puppy inventory on December 31, 2011. Note any assumptions necessary.
b. Suppose the error (non-purebreds treated as purebreds) had not been discovered. Indicate the effect of this error on the following accounts (i.e., were they over- or understated, and by how much?):
i. Inventor)’, December 31, 2011;
ii. Cost of goods sold, year 2011; and
iii. Cost of goods sold, year 2012.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: