Declaration of a Cash Dividend Was Recorded by Debiting Operations

question 61

Multiple Choice

Declaration of a cash dividend was recorded by debiting Operations Expense and crediting Cash.This error would cause:

• A)the period end assets to be overstated.
• B)the period end liabilities to be overstated.
• C)the period end stockholders' equity to be understated.
• D)None of the above are correct.

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