Which of the Following Errors Will Normally Result in Overstatement

question 23

Multiple Choice

Which of the following errors will normally result in overstatement of 2011 net income?

• A)failure to record merchandise purchases in 2010
• B)understatement of 2010 ending merchandise inventory
• C)failure to record accrued salaries expense in 2010
• D)overstatement of prepaid expense in 2010

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Definitions:

Public Opinion

The collective attitude or beliefs of the general public on a particular issue or set of issues.

Republicans

A political party in the United States that traditionally supports conservative policies, economic liberalism, and federalism.

Ross Perot

An American business magnate and politician best known for his third-party presidential runs in 1992 and 1996, focusing on fiscal responsibility and political reform.

Bipartisan System

A political system in which two major parties dominate the government and political landscape at any given time.