At the end of the current year, a company overstated prepaid insurance by $72,000 and understated supplies
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Question:
At the end of the current year, a company overstated prepaid insurance by $72,000 and understated supplies expense by $110,000. Its effective tax rate Is 20% As a result of this error, net Income Is:
Multiple Choice
Understated by $30.400.
Overstated by $30,400.
Understated by $145,600.
Overstated by $145,600.
Related Book For
Principles Of Managerial Finance
ISBN: 978-0136119463
13th Edition
Authors: Lawrence J. Gitman, Chad J. Zutter
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