Barin Retail Outlets incorrectly recorded inventory in 2014 Rather than recording ending inventory as $960,000, Barin 's accounting manager entered $690,000, understating ending inventory by $270,000 Barin 's controller discovered the error in 2016 Prepare the journal entry necessary to correct the...

The need for a correcting entry depends on when the error is discovered Since th ...

Barin Retail Outlets incorrectly recorded inventory in 2014. Rather than recording ending inventory as $960,000, Barin's accounting

Question:

Barin Retail Outlets incorrectly recorded inventory in 2014. Rather than recording as $960,000, Barin's accounting manager entered $690,000, understating by $270,000. Barin's controller discovered the error in 2016.
Prepare the journal entry necessary to correct the inventory error, ignoring any income tax effects.
Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...