Use the following information for questions.
Ignore taxes.
Peach Inc.'s financial statements for the years 2017 and 2018 contained errors as follows:
-Assuming that none of the errors were detected or corrected, by what amount will retained earnings at December 31, 2018 be overstated or understated?
A)$4,000 understated
B)$5,000 overstated
C)$8,500 understated
D)$11,500 understated

Question

Use the following information for questions.
Ignore taxes.
Peach Inc.'s financial statements for the years 2017 and 2018 contained errors as follows: 
-Assuming that none of the errors were detected or corrected, by what amount will retained earnings at December 31, 2018 be overstated or understated?
A)$4,000 understated 
B)$5,000 overstated 
C)$8,500 understated 
D)$11,500 understated

Quizplus · Accepted Answer

The Answer of Use the following information for questions.
Ignore taxes.
Peach Inc.'s financial statements for the years 2017 and 2018 contained errors as follows: 
-Assuming that none of the errors were detected or corrected, by what amount will retained earnings at December 31, 2018 be overstated or understated?
A)$4,000 understated 
B)$5,000 overstated 
C)$8,500 understated 
D)$11,500 understated

Use the Following Information for Questions