Bennett Company's Accountant Made the Following Errors Related to Merchandise

question 64

Multiple Choice

Bennett Company's accountant made the following errors related to merchandise inventory in 2013:
1.The beginning inventory for 2013 was overstated by $1,900 due to an error in the physical count.
2.A $1,150 purchase of merchandise on credit was not recorded, but the items were included in the ending inventory.
Assuming a periodic inventory system, Bennett Company's 2013 cost of goods sold will be

• A) understated by $750
• B) understated by $1,900
• C) overstated by $750
• D) overstated by $1,900

---

Definitions:

Neurons

Specialized cells within the nervous system that transmit information to other nerve cells, muscle, or gland cells.

Brain

The complex organ located in the skull, responsible for controlling most functions of the body and mind, including thought, memory, emotion, and motor skills.

Transitional Sleep

A phase of sleep that serves as a bridge between wakefulness and deeper stages of sleep, often characterized by light sleep.

Newborns

Infants in the very first weeks of life, characterized by rapid physical growth and development.