Boston Auto reported sales revenue of $160,000 and cost of goods sold of $90,000 Requirements 1 Compute Boston Autos correct gross profit assuming the companys ending inventory is overstated by $1,400 Show your work 2 Compute Boston Autos correct gross profit assuming the companys ending inventory ...

Req 1 Sales Revenue 160000 Cost of Goods Sold 90000 1 ...

Boston Auto reported sales revenue of $160,000 and cost of goods sold of $90,000. Requirements 1. Compute

Question:

Boston Auto reported sales revenue of $160,000 and cost of goods sold of $90,000.
Requirements
1. Compute Boston Auto’s correct gross profit assuming the company’s is overstated by $1,400. Show your work.
2. Compute Boston Auto’s correct gross profit assuming the company’s is understated by $2,400. Show your work.
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 =...