Hi, please help with question 7, 8, and 10 and provide the reason of why you believe so. Thanks.

7 Tidwell, Inc. made an error in the physical count of goods on hand at the end of June which resulted in a $1,200 understatement of the ending inventory. Which of the following is one effect of the error? Net income will be understated a. b. Cost of goods available for sale will be overstated c Cost of goods sold will be understated d. Gross profit will be overstated 8 What is a LIFO reserve? a. The amount of income taxes saved when using LIFO instead of FIFO b. The difference between ending inventory using LIFO compared to FIFO C. The difference between inventory cost using LIFO in the balance sheet and cost of goods sold in the income statement using LIFO d. The extra cost a company incurs as a result of using LIFO compared to FIFO in periods of rising prices 9 Interest is usually associated with a. accounts receivable. b. notes receivable. C. doubtful accounts. d. bad debts 10. What is the purpose of recording depreciation? To allocate the cost of the assets to the accounting periods in which the assets are used to produce benefits b. To reduce the value of the assets on the balance sheet to their fair values c. To pay for possible future repairs and eventual replacement of the assets d. To avoid overstating the book value of the assets a. 11. Which one of the following is considered an advantage of the corporate form of organization? Unlimited liability of stockholders a. b. Separation of ownership and management C. Continuous life d. Government regulation