An Error in the Ending Inventory for the Year Ended

question 174

Multiple Choice

An error in the ending inventory for the year ended December 31, 2011:

• A) automatically creates errors in cost of goods in the 2011 and 2012 financial statements.
• B) has no effect on the 2011 financial statements, but will create an error in the 2012 financial statements.
• C) automatically creates errors in the ending inventory balance in the 2011 and 2012 financial statements.
• D) affects only the 2011 financial statements.

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Definitions:

Whigs

A political party active in the middle of the 19th century in the United States that advocated for federal government support for a more industrial and modern economy.

Republicans

Members of the Republican Party, a political party in the United States known for its conservative positions on economic and social issues.

National Republicans

a political party in the United States that emerged from the split of the Democratic-Republican Party, advocating for a strong centralized government and a protective tariff, active in the 1820s to 1830s.

Whigs

A political party active in the mid-19th century in the United States that advocated for federal government support in economic matters and opposed the Democratic Party, favoring modernization and economic protectionism.