The Ending Inventory for Raw Materials Was Overstated

question 14

Multiple Choice

The ending inventory for raw materials was overstated.This error will cause:

• A)the cost of goods manufactured to be understated.
• B)the cost of goods sold to be overstated.
• C)the net income to be understated.
• D)Answers A and B are correct.

Comprehend how to classify and report long-term notes payable and current maturities.

Calculate and remit sales taxes when not separately shown on cash registers.

Account for subscription-based revenue and how to handle unearned revenue.

Recognize and report sales tax collected as a current liability.