The Financial Statements of Bollinger Corporation for 2014 and 2015

question 19

Multiple Choice

The financial statements of Bollinger Corporation for 2014 and 2015 contained the following errors:

Assuming that none of the errors were detected or corrected,by what amount will 2015 operating income be overstated or understated?

• A)$40,600 understated
• B)$35,800 understated
• C)$27,800 understated
• D)$13,400 overstated

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Definitions:

Anxiolytics

Drugs that alleviate the symptoms of anxiety.

GABA

Short for gamma-aminobutyric acid, it is the primary inhibitory neurotransmitter in the central nervous system, playing a role in reducing neuronal excitability throughout the nervous system.

Thorazine

A medication also known as chlorpromazine, used to treat mental disorders such as schizophrenia by affecting the balance of neurotransmitters in the brain.

Haldol

A medication used in the treatment of schizophrenia, severe behavior problems, and Tourette's syndrome by reducing the activity of dopamine in the brain.