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Question 58

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Use the following information for questions.
Armstrong Inc.is a calendar-year corporation.Its financial statements for the years ended 12\31\10 and 12\31\11 contained the following errors:
Use the following information for questions. Armstrong Inc.is a calendar-year corporation.Its financial statements for the years ended 12\31\10 and 12\31\11 contained the following errors: -Assume that the 2010 errors were not corrected and that no errors occurred in 2009.By what amount will 2010 income before income taxes be overstated or understated? A) $21,000 overstatement B) $9,000 overstatement C) $21,000 understatement D) $9,000 understatement
-Assume that the 2010 errors were not corrected and that no errors occurred in 2009.By what amount will 2010 income before income taxes be overstated or understated?


A) $21,000 overstatement
B) $9,000 overstatement
C) $21,000 understatement
D) $9,000 understatement

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