In 2017, Beginning Inventory Is Overstated

question 69

Multiple Choice

In 2017, beginning inventory is overstated. What is the effect of the error on total stockholders' equity in 2018?

• A)Total stockholders' equity is overstated in 2018.
• B)Total stockholders' equity is understated in 2018.
• C)Total stockholders' equity is correctly stated in 2018.
• D)none of the above.

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Definitions:

Absolute Threshold

The minimum intensity of a stimulus at which it can be detected by an individual at least 50% of the time.

Difference Threshold

The minimum difference in stimulation that a person can detect 50% of the time, also known as just noticeable difference (JND).

Sensory Adaptation

The process by which sensory receptors become less sensitive to constant stimuli over time.

Sensation

The process by which our sensory receptors and nervous system receive and represent stimuli from our environment.