User Account

All Pages

What error was made in this income statement

Assignment Help Accounting Basics
Reference no: EM132712341

You are an accountant at a small publishing company. You are reviewing an income statement that has been prepared by one of your peers. The income statement you receive is as follows.

Income Statement

For the Year Ending December 31

Revenues Books sold $120,000

Expenses Salaries $90,000

Advertising 25,000

Interest 5,000

          105,000

Net income $15,000

Problem a. What error was made in this income statement?

Problem b. How should this error be corrected? Show how you would correct the error in the income statement.

Reference no: EM132712341

Questions Cloud

Explain the importance of leisure : The Importance of Leisure and Recreation During Covid-19. Your paper should be double spaced using Times New Roman size 12 font.
What led the authors to write the piece : Provide context for the research article. What led the author(s) to write the piece? What key concepts were explored? Were there weaknesses in prior research.
How much did the owner invest in the business : One of your peers is working on the owner's statement of equity. How much did the owner invest in the business over the course of the year?
Create a cash budget for June to October : The firm collects 20% of its sales during the month, 65% the following month, Create a cash budget for June to October
What error was made in this income statement : How should this error be corrected? Show how you would correct the error in the income statement. What error was made in this income statement?
In what ways did iso affect standards for network security : What do you think were the critical factors that fueled the need for IT governance? In what ways did ISO affect the standards for network security?
Discuss the five components of the coso framework : The COSO framework of internal controls is practiced within companies around the world. The objectives of the COSO framework are closely related to its five.
About HIPAA and Patient Bill of Rights Act : You will write an essay about HIPAA and the Patient Bill of Rights Act. Jingle Smith has just been diagnosed with a chronic condition.
Why does an accountant need to make income statement : How does a statement of owner's equity depend on an income statement? Why does an accountant need to make income statement?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd