Financial accounting question A company failed to record unrealized gains of $30 millionon its available-for-sale security investments. Its tax rateis 35%. As a result of this error, comprehensive incomewould be (Round million answer to 2 decimal places.):A. Understated by $30.00 million.B. Unaffected.C. Understated by $10.50 million.D. Understated by $19.50 million.

Step 1: Comprehensive IncomeComprehensive income combines net income and other unrealized gains from…

Answered: A company failed to record unrealized…

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 3P

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Please give answer for this question including a good working out. also , Ignore any tax loss carry back or carry plforward provisions.

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