A client has recently decided to start tracking inventory in QuickBooks Online. Previously, when purchasing goods, everything was coded directly to the Cost of Sales account. Now when goods are purchased, the item field on purchase transactions should be utilized. You've discovered they are still coding the purchases directly to the Cost of Sales account.

Which 3 effects will this have on the QuickBooks Online file?

The Accounts Payable account will report incorrect figures

The Balance Sheet will report incorrect figures

The Profit & Loss will report incorrect figures

The supplier balance will report incorrect figures

Inventory quantities will be incorrect, and may potentially be negative

Review the Inventory Asset Transaction report. Why would its total ($10,756.25) differ from the Inventory Valuation Detail total ($9,756.25) for the same date range?

A- $1,000 of Rock Fountains were purchased without using a product/service item

B- The reports are for all dates, not a specific point in time

C- One thousand Sprinkler Heads were purchased without using a product/service item

D- A negative quantity of pumps was sold