contestada

The understatement of the ending inventory balance causes:

A. Cost of goods sold to be overstated and net income to be correct.
B. Cost of goods sold to be understated and net income to be understated.
C. Cost of goods sold to be understated and net income to be overstated.
D. Cost of goods sold to be overstated and net income to be overstated.
E. Cost of goods sold to be overstated and net income to be understated.

Respuesta :

agustinsr99

Answer: The correct answer is "E. Cost of goods sold to be overstated and net income to be understated.".

Explanation: The understatement of the ending inventory balance causes:  

Cost of goods sold to be overstated and net income to be understated.

Otras preguntas