What is the effect on the profits for 2012 and 2013 if depreciation on a fixed asset is omitted in 2012 end-of-year adjustments? profit 2012 overstated, profit 2013 understated Oprofit 2012 understated, profit 2013 no effect O profit 2012 overstated, profit 2013 no effect O profit 2012 overstated, profit 2013 overstated

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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What is the effect on the profits for 2012 and 2013 if depreciation on a fixed asset is omitted in 2012 end-of-year adjustments?
profit 2012 overstated, profit 2013 understated
Oprofit 2012 understated, profit 2013 no effect
O profit 2012 overstated, profit 2013 no effect
O profit 2012 overstated, profit 2013 overstated
Transcribed Image Text:What is the effect on the profits for 2012 and 2013 if depreciation on a fixed asset is omitted in 2012 end-of-year adjustments? profit 2012 overstated, profit 2013 understated Oprofit 2012 understated, profit 2013 no effect O profit 2012 overstated, profit 2013 no effect O profit 2012 overstated, profit 2013 overstated
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