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2. What total amount should be reported as prior period error in the financial statements for the year ended December 31, 2020? ABC Company reported the ff events during 2020: • It was decided to write off 800,000 from inventory which was over two years old as it was absolete. • Sales of 600,000 had been omitted from the financial statements for the year ended December 31,2019 a. 1,400,000 b. 600,000 c.800,000 d. 200,000

2. What total amount should be reported as prior period error in the financial statements for the year ended December 31, 2020? ABC Company reported the ff events during 2020: • It was decided to write off 800,000 from inventory which was over two years old as it was absolete. • Sales of 600,000 had been omitted from the financial statements for the year ended December 31,2019 a. 1,400,000 b. 600,000 c.800,000 d. 200,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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2. What total amount should be reported as prior period error in the financial statements for the year ended December 31, 2020? ABC Company reported the ff events during 2020: • It was decided to write off 800.000 from inventory which was over two years old as it was obsolete. • Sales of 600,000 had been omitted from the financial statements for the year ended December 31,2019 a. b. 600,000 0.800,000 d. 200,000 1,400,000
Transcribed Image Text:2. What total amount should be reported as prior period error in the financial statements for the year ended December 31, 2020? ABC Company reported the ff events during 2020: • It was decided to write off 800.000 from inventory which was over two years old as it was obsolete. • Sales of 600,000 had been omitted from the financial statements for the year ended December 31,2019 a. b. 600,000 0.800,000 d. 200,000 1,400,000
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