The Accountant for Angie Company Made the Following Errors Related

question 75

Multiple Choice

The accountant for Angie Company made the following errors related to purchases of merchandise and ending inventory in 2013:
1.A $2,200 purchase of merchandise on credit was not recorded or included in ending inventory.
2.A $3,180 purchase of merchandise on credit was recorded, but it was inadvertently omitted from the end-of-year physical inventory count.
Assuming a periodic inventory system, Angie's Company's 2013 net income will be

• A) understated by $3,180
• B) understated by $2,380
• C) overstated by $5,380
• D) overstated by $3,180

Recognize solvency and profitability measures in financial analysis.

Analyze the interests of shareholders towards company profitability, solvency, and marketability.

Calculate and interpret non-GAAP financial performance measures.

Understand the significance and computation of asset turnover ratios.

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Definitions:

Phone Habits

Patterns or behaviors associated with the use of telephones or smartphones, including frequency and manner of usage.

Etiquette

The traditional set of courteous behaviors observed in social situations or within specific professional or group contexts.

Online

Pertaining to being connected to or available through the internet or an electronic network.

Social Settings

The environmental and cultural contexts within which social interactions and relationships occur.