Purchases of P 200,000 in 2021 were recorded as purchases of 2022. What would be the adjusting entry if the error was discovered at December 31, 2022? a. Debit - Purchases, P 200,000; Credit - Retained Earnings, P 200,000. b. Debit - Retained Earnings, P 200,000; Credit - Accounts Payable, P 200,000. c. Debit - Retained Earnings, P 200,000; Credit - Purchases, P 200,000. d. No adjusting entry is necessary
Purchases of P 200,000 in 2021 were recorded as purchases of 2022. What would be the adjusting entry if the error was discovered at December 31, 2022? a. Debit - Purchases, P 200,000; Credit - Retained Earnings, P 200,000. b. Debit - Retained Earnings, P 200,000; Credit - Accounts Payable, P 200,000. c. Debit - Retained Earnings, P 200,000; Credit - Purchases, P 200,000. d. No adjusting entry is necessary
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 12E: Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120...
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Purchases of P 200,000 in 2021 were recorded as purchases of 2022. What would be the
a. Debit - Purchases, P 200,000; Credit - Retained Earnings , P 200,000.
b. Debit - Retained Earnings, P 200,000; Credit - Accounts Payable, P 200,000.
c. Debit - Retained Earnings, P 200,000; Credit - Purchases, P 200,000.
d. No adjusting entry is necessary
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