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Category > Accounting Posted 19 Aug 2017 My Price 7.00

Missouri River Supply Co

EX 6-17  Effect of errors in physical inventory

Missouri River Supply Co. sells canoes, kayaks, whitewater rafts, and other boating supplies. During  the  taking  of  its  physical  inventory  on  December  31,  2016,  Missouri  River    Supply

incorrectly counted its inventory as $233,400 instead of the correct amount of $238,600.

a.     State the effect of the error on the December 31, 2016, balance sheet of Missouri River Supply.

b.     State the effect of the error on the income statement of Missouri River Supply for the year ended December 31, 2016.

c.     If uncorrected, what would be the effect of the error on the 2017 income statement?

d.     If uncorrected, what would be the effect of the error on the  December  31, 2017, balance sheet?

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Maurice Tutor
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Status NEW Posted 19 Aug 2017 08:08 PM My Price 7.00

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