In QuickBooks, there is an account entitled "Ask My Accountant" for transactions that businesses do not know how to classify. Also, many businesses use the account name "Suspense" to classify transactions. In small businesses, the person that enters the data will often guess the account and many transactions are misclassified. What are the consequences of misclassified transactions if they are corrected in time for any financial statements? What are the consequences of misclassified transactions if they are not corrected?

Answer rating: 100% (QA)

Correcting Misclassified Transactions in Time for Financial Statements Accurate Financial Reporting Positive Impact Timely correction ensures that fin... View the full answer