If an error in counting ending inventory in one year will have the reverse effect in the
Question:
If an error in counting ending inventory in one year will have the reverse effect in the following year, do we need to correct this error when we discover it? Explain.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 40% (5 reviews)
The error should be corrected as it will change the amounts pr...View the full answer
Answered By
Akshay Agarwal
I am a Post-Graduate with a specialization in Finance. I have been working in the Consulting industry for the past 8 years with a focus on the Corporate and Investment Banking domain. Additionally, I have been involved in supporting student across the globe in their academic assignments and always strive to provide high quality support in a timely manner. My notable achievements in the academic field includes serving more than 10,000 clients across geographies on various courses including Accountancy, Finance, Management among other subjects. I always strive to serve my clients in the best possible way ensuring high quality and well explained solutions, which ensures high grades for the students along-with ensuring complete understanding of the subject matter for them. Further, I also believe in making myself available to the students for any follow-ups and ensures complete support and cooperation throughout the project cycle. My passion in the academic field coupled with my educational qualification and industry experience has proved to be instrumental in my success and has helped me stand out of the rest. Looking forward to have a fruitful experience and a cordial working relationship.
5.00+
179+ Reviews
294+ Question Solved
Related Book For
Financial Accounting Tools For Business Decision Making
ISBN: 9781119594574
8th Canadian Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine, Christopher D. Burnley
Question Posted:
Students also viewed these Business questions
-
If an error in counting ending inventory in one year will have the reverse effect in the following year, will this error need to be corrected when it is discovered? Explain.
-
In which transition strategy do we need to have both IPv4 and IPv6 in the path?
-
In which transition strategy do we need to encapsulate IPv6 packets in the IPv4 packets?
-
You are an audit supervisor of PricewaterhouseCoopers (PwC) and are planning the audit of your client, Blister Pharmaceuticals co. which manufactures and imports sanitary and cleaning products...
-
Suppose that the $1 billion of collateral in Question 14 was divided into a PAC bond with a par value of $800 million and a support bond with a par value of $200 million. Will the PAC bond in this...
-
Two spaceships A and B are exploring a new planet. Relative to this planet, spaceship A has a speed of 0.60c, and spaceship B has a speed of 0.80c. What is the ratio DA/DB of the values for the...
-
The linkage is made of two pin-connected A-36 steel members, each having a cross-sectional area of 1.5 in 2 . Determine the magnitude of the force P needed to displace point A 0.025 in. downward. 2...
-
On March 31, 2013, Wolfson Corporation acquired all of the outstanding common stock of Barney Corporation for $17,000,000 in cash. The book values and fair values of Barneys assets and liabilities...
-
Assume that you have been asked to provide a position statement for your client to attend mediation in a family law case. The information in this case is the other parent who is the petitioner, Ms....
-
a. Given the available capacity in the network, how much gas can be shipped from Katy to Leidy? From Katy to Joliet? b. How much gas should Bruce offer to sell to Joliet and Leidy if he wants to...
-
(a) Compare the financial effects (ignore income tax) of using the FIFO and average inventory cost formulas during a period of declining prices on (1) Cash, (2) Ending inventory, (3) Cost of goods...
-
Because of a counting error, Mila Ltd. understated its ending inventory at December 31, 2021, by $43,000. Ignoring income tax effects and assuming that the company did not detect this error, what...
-
Complete the following steps for the given function, interval, and value of n. a. Sketch the graph of the function on the given interval. b. Calculate x and the grid points x 0 , x 1 , x n . c....
-
The Italian firm Luxottica was following a vertical integration strategy in the luxury eyewear business. The company designed and manufactured eyeglass frames and sunglasses under numerous brands....
-
Sawyer Company had the following information for the year: Direct materials used Direct labor incurred (7,000 hours) Actual manufacturing overhead incurred $190,000 $245,000 $273,000 Sawyer Company...
-
Sandhill's Hair Salon is considering opening a new location in French Lick, California. The cost of building a new salon is $310,000. A new salon will normally generate annual revenues of $68,950,...
-
On January 1, 2022, Swifty Company purchased equipment for $337000. The equipment is estimated to have a salvage value of $19000 and is being depreciated over five years using the...
-
Coronado, Inc. incurred total manufacturing costs of $696000, manufacturing overhead of $315000, and direct materials totalling $30000. How much is the amount of direct labour?
-
Maggie Brown is a transcriptionist for several doctors in her town and works from her home. She spends three to four hours per day transcribing medical notes for the doctors. During the year, she...
-
Consider the activities undertaken by a medical clinic in your area. Required 1. Do you consider a job order cost accounting system appropriate for the clinic? 2. Identify as many factors as possible...
-
The April 21, 2008, issue of the Wall Street Journal Online included an article by David Reilly entitled A Way Charges Stay off Bottom Line. Instructions Read the article and answer the following...
-
The Coca-Cola Company and PepsiCo, Inc. provide refreshments to every corner of the world. Selected data from the 2009 consolidated financial statements for The Coca-Cola Company and for PepsiCo,...
-
You are a loan officer for Great Plains Bank of Davenport. David Miller, president of D. Miller Corporation, has just left your office. He is interested in an 8-year loan to expand the company??s...
-
Consider the following expected returns, volatilities, and correlations: Corr w Corr w Corr w Stock Delta Google E[Return] Std. Dev. Delta Google Facebook 10% 8% 1.0 -1.0 0.0 30% 25% -1.0 1.0 0.4...
-
Research the topic relating to the concept of the definition and application of financial options. Required : Include information about how options are used in business to effectively hedge against...
-
Explain and calculate the hedge ratio for a position of 10 Mio. nominal 4% Bund with a maturity of 8 years using a sensitivity hedge. The interest rate is 4% for all maturities (30/360, bond base),...
Study smarter with the SolutionInn App