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nal Review and Training Center

Accounting Changes and

Errors Analysis

(AP.501)

. R. Ca!arles

Accounting Changes and

Errors Analysis

(AP.501)

. R. Ca!arles

7/25/2019 AP.501_Accounting Changes and Errors Analysis

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Relevant Standard

PAS 8 Accounting Policies,Changes in Accounting Estimatesand Errors

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Problem No. 1

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Question 1

RE, 1!1!1" P#$,$$$

E%%ect o% change in &olic'(P1),$$$ * .+ 1$,)$$

RE, 1!1!1", restated "$,)$$

Ad-usted &ro%it #$1"(P+",)$$ P)",)$$ P/,)$$ 0 P#,$$$ * .+ 1$,8)$

RE, 1#!"1!1" P21,")$

Ans3er is letter 4

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Question #

Re&orted C5S #$12 P8/,)$$

4eginning inventor' over ( /,)$$

6e&reciation over(P1,)$$ P/$$ ( 7$$

Ad-usted C5S #$12 P+7,1$$

Ans3er is letter C

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Question "

Sales #$12 P1$2,$$$

Ad-usted C5S ( +7,1$$

9ross &ro%it #2,7$$

:; ad-. gain (:;ncome ta* e*&ense ( 8,7+$

Ans3er is letter 4

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Question 2

Sales #$12 P1$2,$$$

Ad-usted C5S ( +7,1$$

9ross &ro%it #2,7$$

:; ad-. gain (:;ncome ta* e*&ense ( 8,7+$

Pro%it #$12 P #$,7"$

Ans3er is letter C

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:S Presentation

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Problem No. #

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances

>nventor' over #$1#

>nventor' over #$1"

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$

>nventor' over #$1#

>nventor' over #$1"

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1#

>nventor' over #$1"

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$

>nventor' over #$1"

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1"

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1#

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1"

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1#

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1#

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R E

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1"

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R.E.

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R.E.

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12

#$11 #$1# #$1" #$12 R.E.

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$

#$11 #$1# #$1" #$12 R.E.

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#$11 #$1# #$1" #$12 R.E.

?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

#$11 #$1# #$1" #$12 R.E.

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?nad-usted balances /$,$$$ 22,$$$ )#,$$$ /$,$$$ #1/,$$$

>nventor' over #$1# ()/,$$$ )/,$$$

>nventor' over #$1" (/2,$$$ /2,$$$

>nventor' under #$11 28,$$$ (28,$$$

>nventor' under #$12 +#,$$$ +#,$$$

Pre&aid e*&ense #$11 +,#$$ (+,#$$

Pre&aid e*&ense #$1# ),/$$ (),/$$

Pre&aid e*&ense #$1" 2,$$$ (2,$$$

Pre&aid e*&ense #$12 2,8$$ 2,8$$

?nearned income #$1# (",#$$ ",#$$

?nearned income #$12 (#,2$$ (#,2$$

Accrued e*&ense #$11 (1,/$$ 1,/$$

Accrued e*&ense #$1# (/$$ /$$

Accrued e*&ense #$1" (8$$ 8$$

Accrued e*&ense #$12 (2$$ (2$$

Ans3ers@ 1C #A "C 26 )4

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Problem No. "

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Questions 1 and #

#$1" #$12

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52/90

?nad-usted &ro%it

#$1" #$12

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53/90

?nad-usted &ro%it "$,$$$

#$1" #$12

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54/90

?nad-usted &ro%it "$,$$$ )/,#)$

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

55/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

#$1" #$12

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56/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12

#$1" #$12

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57/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

#$1" #$12

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58/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12

#$1" #$12

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59/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

60/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1"

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

61/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

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?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

63/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12

#$1" #$12

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?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

#$1" #$12

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?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1"

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

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?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$

#$1" #$12

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?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$

#$1" #$12

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68/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&.

Allo3. :or 6!A, 1#!"1!1" (P28,+)$ * .$/ P#,7#)

#$1" #$12

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?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#)

Allo3. :or 6!A, 1#!"1!1" (P28,+)$ * .$/ P#,7#)

6!A e*&ense #$12A6A, 1#!"1!12 (P/+,)$$ * .$/ P2,$)$

A6A, 1#!"1!1" (#,7#)

P1,1#)

#$1" #$12

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70/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

Allo3. :or 6!A, 1#!"1!1" (P28,+)$ * .$/ P#,7#)

6!A e*&ense #$12A6A, 1#!"1!12 (P/+,)$$ * .$/ P2,$)$

A6A, 1#!"1!1" (#,7#)

P1,1#)

#$1" #$12

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71/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under

#$1" #$12

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72/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

73/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

#$1" #$12

7/25/2019 AP.501_Accounting Changes and Errors Analysis

74/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1"

#$1" #$12

d- d %i

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75/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$

#$1" #$12

? d- d %i "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

76/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

#$1" #$12

? d- t d %it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

77/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1"

#$1" #$12

? d- t d %it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

78/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$

#$1" #$12

? d- t d %it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

79/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

#$1" #$12

? d- t d %it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

80/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12

#$1" #$12

?nad- sted & o%it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

81/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

#$1" #$12

?nad-usted &ro%it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

82/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

Purchases under #$12

#$1" #$12

?nad-usted &ro%it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

83/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

Purchases under #$12 (",#)$

#$1" #$12

?nad-usted &ro%it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

84/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

Purchases under #$12 (",#)$

Net ad-ustment

#$1" #$12

?nad-usted &ro%it "$ $$$ )/ #)$

A N 1 l C

7/25/2019 AP.501_Accounting Changes and Errors Analysis

85/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

Purchases under #$12 (",#)$

Net ad-ustment (#,1+)

Ans3er No. 1 letter C

#$1" #$12

?nad-usted &ro%it "$ $$$ )/ #)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

86/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

Purchases under #$12 (",#)$

Net ad-ustment (#,1+) (1#,##)

?nad-usted &ro%it P)/,#)$

Net ad-ustment (1#,##)Ad-usted &ro%it P22,$#)

Ans3er No. # letter C

#$1" #$12

?nad-usted &ro%it "$ $$$ )/ #)$

Retained earnings P12,2$$

?nused su&&lies 2)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

87/90

?nad-usted &ro%it "$,$$$ )/,#)$

Add (deduct ad-ustments@

a >nventor' over #$12 (2,)$$

b Accrued e*&. #$12 (1,8$$

c ?nused su&&lies #$1" 1,$)$ (1,$)$

?nused su&&lies #$12 2)$

d Accrued income #$1" 1,#$$ (1,#$$e 6oubt%ul accounts e*&. (#,7#) (1,1#)

% 6e&reciation under (1,)$$ (",$$$

g >nventor' under #$1" ),#)$ (),#)$

Purchases under #$1" (),#)$ ),#)$

>nventor' under #$12 ",#)$

Purchases under #$12 (",#)$

Net ad-ustment (#,1+) (1#,##)

?nused su&&lies 2)$

>nventor' P1,#)$

Accrued e*&ense 1,8$$

Allo3ance %or 6.A. 2,$)$

Acc. 6e&reciation 2,)$$

Accounts &a'able ",#)$

Ans3er No. " is letter A

Question No. 2

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88/90

Ques o o

?nad-.

7/25/2019 AP.501_Accounting Changes and Errors Analysis

89/90

?nad-. liabs and SBE, 1#!"1!1"2 P17),1)$5verstatement o% RE ( 12,2$$Accrued liabilit' 1,8$$?nrecorded accounts &a'able ",#)$Ad-. liabs and SBE, 1#!"1!12 P18),8$$

Ans3er is letter A

Retained earnings P12,2$$

?nused su&&lies 2)$

>nventor' P1,#)$

Accrued e*&ense 1,8$$

Allo3ance %or 6.A. 2,$)$

Acc. 6e&reciation 2,)$$

Accounts &a'able ",#)$

7/25/2019 AP.501_Accounting Changes and Errors Analysis

90/90

End