At 31 December 2012,the End of Their Accounting Year,the Black

Multiple Choice

At 31 December 2012,the end of their accounting year,the Black Sheep Wool Cooperative understated ending inventory by $3,000.The profit for 2012 will be:

A) Overstated
B) Understated
C) Correctly stated
D) It depends on whether or not the inventory increased during 2012