Use the Following Information for Questions

question 42

Multiple Choice

Use the following information for questions.
Ernst Company purchased equipment that cost $750,000 on January 1, 2010.The entire cost was recorded as an expense.The equipment had a nine-year life and a $30,000 residual value.Ernst uses the straight-line method to account for depreciation expense.The error was discovered on December 10, 2012.Ernst is subject to a 40% tax rate.
-Before the correction was made and before the books were closed on December 31, 2012, retained earnings was understated by

• A)$332,000.
• B)$336,000.
• C)$354,000.
• D)$450,000.

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Definitions:

Dynamics of Difference

The interplay and effects of variations within a group, such as cultural or demographic differences, on behavior and interactions.

Systemic Oppression

A form of oppression that is entrenched in the societal structures and institutions, affecting marginalized groups across various sectors.

Culturally Sensitive Manner

Approaching individuals with an awareness and respect for their cultural beliefs and practices, ensuring communication and actions are respectful and appropriate.

Family Participation

involves the active involvement and engagement of family members in the care, decision-making, and support processes for a family member.