A Company Made an Error in Recording the Year 1

question 149

True/False

A company made an error in recording the Year 1 purchase of computer equipment as an expense. This was discovered in Year 2. The item should be reported as a prior period adjustment on the Year 2 income statement.

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Definitions:

Pons

The larger swelling above the medulla that relays information from the cortex to the cerebellum, and that plays a part in sleep, dreaming, left–right body coordination, and arousal.

Cerebellum

A region of the brain that plays a vital role in motor control, and it also contributes to coordination, precision, and accurate timing of movements.

Fine-Motor Movement

Involves the coordination of small muscles in movements—usually involving the synchronization of hands and fingers—with the eyes.

Cerebellum

A part of the brain located at the back of the skull, crucial for motor control, coordination, precision, and timing of movements.