Use the Following Information for Question 102-103

question 167

Multiple Choice

Use the following information for question 102-103.
During its December 31, 2014 year-end inventory count, Jefferson Company failed to count items in transit to which it had legal title. As a result of this error, ending inventory was understated by $30,000.
-Assuming the company makes no errors in 2015, Jefferson's owner's equity at the end of December 2015 will be

• A) overstated by $30,000.
• B) understated by $30,000.
• C) overstated by $60,000.
• D) correct.

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Definitions:

Arranged Marriage

A marital union where the bride and groom are selected by individuals other than the couple themselves, often by family members.

Empty Love

A type of love characterized by commitment without intimacy or passion, often found in long-term relationships that have lost their spark.

Triangular Theory

Often referred to in the context of love, this theory posits that love comprises three components: intimacy, passion, and commitment.

Liking

A positive feeling toward something or someone, often based on appreciation or enjoyment.