Grey Manufacturing Had the Following Transaction

question 18

Multiple Choice

Grey Manufacturing had the following transaction:
.Grey received an order to sell inventory with a cost of $50,000, and debited Accounts Receivable and credited Sales. The goods were shipped to the customer on December 31, 2017, and received on January 2, 2018.
If the terms of the sale were FOB shipping point and Grey included all these items in its ending inventory of 12/31/17, which of the following is the best statements regarding this treatment?

• A)Grey made no mistake and rightfully included the items in its inventory until January 2, 2018.
• B)Grey made a mistake and wrongly understated ending inventory.
• C)Grey made a mistake and wrongly understated Cost of Goods Sold.
• D)Grey made a mistake and wrongly understated Retained Earnings.

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Definitions:

Voices Inside

Refers to the experience of hearing internal voices or thoughts, which can be a normal aspect of introspection or a symptom of certain psychological conditions.

Multiple Voices

The presence of various distinct perspectives or narrative styles within a single text, conversation, or cognitive process.

Positive Symptoms

Manifestations of psychotic disorders such as delusions and hallucinations that represent an excess or distortion of normal functions.

Negative Symptoms

Features associated with reductions or deficits in normal emotional and behavioral functions, often seen in schizophrenia, such as apathy and lack of speech.