inventory, Basic Statistics

Assignment Help:
An audit of the accounting records of Loch Ness Ltd. for the year ending 30 June 2012 discovered that the ending inventory balance was over-valued by $35,000. Upon further investigation, it was discovered that the ending inventory for the previous year was correctly counted and valued, but that the inventory balance as at 30 June 2010 was under-valued by $90,000.
The auditor, concerned at these errors, decides to carry out a thorough investigation (audit) as to the inventory values shown in the company’s financial statements during its six-year history. The following additional errors were detected:

(i) as at 30 June 2009, inventory was over-valued by $15,000

(ii) as at 30 June 2008, inventory was under-valued by $55,000

Required :

1. Determine the effects that these errors have had on the company’s profit figures in each year, beginning in the year ended 30 June 2008.

2. Determine the effect of the inventory errors on the company’s balance sheets over the total time period. Include in your answer the cumulative impact on the company’s retained profits/earnings.

Related Discussions:- inventory

Mean - median and frequencies, Put the appropriate summary statistics, e.g....

Put the appropriate summary statistics, e.g. mean, median, frequencies, percentages, for the different variables into a table to make them concise. You can see examples of consise

Find the mean and standard deviation, A travel agency surveyed 38 customers...

A travel agency surveyed 38 customers holidaying in Australia who took their spouses on either a skiing or a golfing vacation.  The data comprises amounts (in hundreds of dollars).

What is account code, The three-character alpha/numeric code allocated by t...

The three-character alpha/numeric code allocated by the Workplace of Economical Control (OFM) to recognize each account.

Dist4ibution, I want support about statistical distributions

I want support about statistical distributions

conversion process from gaap to ifrs, When do you think the conversion pro...

When do you think the conversion process should start? Manager 1 : The conversion process from GAAP to IFRS will be a big challenge. There are a lot of differences between the

Statement, prof. ya-lu-chan definitions statistices

prof. ya-lu-chan definitions statistices

Define Accrued liabilities , Obligations showing the responsibility to pay ...

Obligations showing the responsibility to pay for solutions or products that have been suffered or obtained but not compensated for by the end of the sales interval.

Historigram, what is historigram in statistics please give the problems and...

what is historigram in statistics please give the problems and there solution in statistics as soon as possible

Write Your Message!

Captcha
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!

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