Business, 23.10.2019 17:30 hiitslillyhere
An item of inventory purchased this period for $15.00 has been incorrectly written down to its current replacement cost of $10.00. it sells during the following period for $30.00, its normal selling price, with disposal costs of $3.00 and normal profit of $12.00. which of the following statements is not true?
a. the cost of sales of the following year will be understated.
b. the current year's income is understated.
c. the closing inventory of the current year is understated.
d. income of the following year will be understated.
Answers: 3
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An item of inventory purchased this period for $15.00 has been incorrectly written down to its curre...
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