revealed the following events: During the year ended December 31, 2021, Samar Company A counting error relating to inventory on December 31, 2020 was discovered. This required a reduction in the carrying amount of inventory on that date of P2,000,000. The provision for uncollectible accounts receivable on December 31, 2020 was P50Q0,000. During 2021, an amount of P800,000 was written off the December 31, 2020 accounts receivable. What pretax adjustment is required to restate retained earnings on January 1, 2021? a. 2,000,000 b. 2,500,000 c. 2,300,000 d.

revealed the following events: During the year ended December 31, 2021, Samar Company A counting error relating to inventory on December 31, 2020 was discovered. This required a reduction in the carrying amount of inventory on that date of P2,000,000. The provision for uncollectible accounts receivable on December 31, 2020 was P50Q0,000. During 2021, an amount of P800,000 was written off the December 31, 2020 accounts receivable. What pretax adjustment is required to restate retained earnings on January 1, 2021? a. 2,000,000 b. 2,500,000 c. 2,300,000 d.

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 6MC: Prior to adjustments, Barrett Companys account balances at December 31, 2019, for Accounts...

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