Elizabeth Company discovered the following errors in 2010: Ending inventory at December 31,2009 , was understated by $ \$ 2,000 $.
Accrued expenses of $ \$ 3,000 $ were not recorded at December 31,2009 Elizabeth reported net income of $35, 000 for the year 2009.The corrected net income (ignoring income taxes)for 2009 should be
A)$40, 000
B)$30, 000
C)$36, 000
D)$34, 000

Question

Elizabeth Company discovered the following errors in 2010: Ending inventory at December 31,2009 , was understated by $ \$ 2,000 $. 
Accrued expenses of $ \$ 3,000 $ were not recorded at December 31,2009 Elizabeth reported net income of $35, 000 for the year 2009.The corrected net income (ignoring income taxes)for 2009 should be
A)$40, 000
B)$30, 000
C)$36, 000
D)$34, 000

Quizplus · Accepted Answer

The Answer of Elizabeth Company discovered the following errors in 2010: Ending inventory at December 31,2009 , was understated by $ \$ 2,000 $. 
Accrued expenses of $ \$ 3,000 $ were not recorded at December 31,2009 Elizabeth reported net income of $35, 000 for the year 2009.The corrected net income (ignoring income taxes)for 2009 should be
A)$40, 000
B)$30, 000
C)$36, 000
D)$34, 000

Elizabeth Company Discovered the Following Errors in 2010: Ending Inventory $2,000 \$ 2,000 $2,000

Elizabeth Company Discovered the Following Errors in 2010: Ending Inventory $\$ 2,000$