Multiple Choice
On December 31,2015,Owings Corporation overstates the ending inventory account by $5,000.How will this affect Retained Earnings in the December 31,2016 balance sheet?
A) Retained Earnings will be correctly stated.
B) Retained Earnings will be understated by $5,000.
C) Retained Earnings will be overstated by $5,000.
D) Cannot be determined with the above information.
Correct Answer:
Verified
Correct Answer:
Verified
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