If a Period-End Inventory Amount Is Reported in Error, It

question 171

Multiple Choice

If a period-end inventory amount is reported in error, it can cause a misstatement in all of the following except:

• A) Gross profit.
• B) Cost of goods sold.
• C) Current assets.
• D) Net sales.
• E) Net income.

---

Definitions:

Implicit Leadership Theory

Implicit Leadership Theory suggests that people have preconceived notions or stereotypes about the traits and behaviors that characterize effective leaders, which influence their perception of leadership.

Trait Approach

A theory of leadership that suggests certain inherited characteristics or personal attributes make a good leader.

Leadership Approach

Refers to the theories and styles adopted by leaders in guiding, influencing, and managing groups or organizations, ranging from autocratic to democratic, transformational to transactional.

Performance Orientation

Performance orientation is a focus within organizations or individuals on achieving outcomes and results, often measured against predefined standards or goals.