Question: 3. INVENTORY ERRORS BE6.13 (LO 4) AN Video FirstIn Company reported profit of $90,000 in 2023. When counting its inventory on December 31,2023 , the

3. INVENTORY ERRORS BE6.13 (LO 4) AN Video FirstIn Company reported

3. INVENTORY ERRORS BE6.13 (LO 4) AN Video FirstIn Company reported profit of \$90,000 in 2023. When counting its inventory on December 31,2023 , the company forgot to include items stored in a separate room in the warehouse. As a result, ending inventory was understated by $7,000. a. What is the correct profit for 2023 ? b. What effect, if any, will this error have on total assets and owner's equity reported on the balance sheet at December 31, 2023? c. Assuming the inventory is correctly counted on December 31,2024 , what effect, if any, will this error have on the 2024 financial statements

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

FirstIn Company reported profit of $90,000 in 2023. When counting its inventory on December 31, 2023, the company forgot to include items stored in a separate room in the warehouse. As a result,...

pls Oriole Company Company reported profit of \$ \\$ 89,000 \$ in 2023 . When counting its inventory on December 31,2023 , the company forgot to include items stored in a separate room in the...

pls Oriole Company Company reported profit of \$ \\$ 89,000 \$ in 2023 . When counting its inventory on December 31,2023 , the compa forgot to include items stored in a separate room in the...

MGMT-6082 Domestic and International Sourcing Mid Term Case Smart Phone Corporation (25%) Individual Submission (60%) Students are to submit their individual preparation on the Mid Term Case 72 hours...

Answer the following 10 questions, using the financial statement data from Blockbuster Entertainment Corporation. Show your work (i.e., note what numbers you're using). On May 9, 1989, Bear Stearns &...

Please answer questions # 7- 10 under section (E) on page #2 of the case attached. Please refer to the Note #1 on page 7 of the case and the financial statements on pages #3-#6. I submitted this...

1) What is Blockbuster's amortization timetable? Do you think it is appropriate? 2) What would be the impact on Blockbuster's 1988 earnings per share if 5 year amortization were applied to this...

Please provide answers for the 10 questions in the attachment show work in excel Bear Stearns & Co Bear Stearns & Co Answer the following 10 questions, using the financial statement data from...

Tania Selek, aged 49, moved to British Columbia in on 1st January 2020 because she has taken up a new job as an executive manager at a video game creation company. The moving costs were $8,200 and...

Sales $443,500.00 2 Cost of merchandise sold 154,500.00 3 Gross profit $289,000.00 4 Operating expenses: The income statement for Rhino Company for the current year ended June 30 is as follows: 1...

What value is property plant and equiment initally recorded whag deoreciation / amorization method do they use how does shaw record borrowing costs

SIMAD UNIVERSITY Class: BACC25 Subject: Islamic Accounting Instructions: a) Follow The Instructions. Midterm Exam Instructor: All Ibrahim Date: 6-4-2022 b) You Have 1.5 Hrs. To Complete This Test. c)...

(Appendices) Permanent partial workers compensation claims are costly and often difficult to administer. The states use different methods to compensate injured workers for such claims. LO4 a. What is...

(Appendices) Compare the SSI program with the TANF program with respect to each of the following: LO4 a. Eligibility requirements b. Groups that are covered c. Benefits provided d. Financing

(Appendices) The Original Medicare Plan consists of Hospital Insurance (Part A) and Medical Insurance (Part B). For each of the following losses, indicate whether the loss is covered under Medicare....