Business, 17.04.2020 23:07 jmsmith1218
Black, Inc. is a calendar-year corporation whose financial statements for 2014 and 2015 included errors as follows:
Year Ending Inventory Depreciation Expense
2014 $162,000 overstated $135,000 overstated
2015 64,000 understated 45,000 understated
Assume that purchases were recorded correctly and that no correcting entries were made at December 31, 2014, or at December 31, 2015. Ignoring income taxes, by how much should Black's retained earnings be retroactively adjusted at January 1, 2016?
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Black, Inc. is a calendar-year corporation whose financial statements for 2014 and 2015 included err...
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