题目
题目

ACCT*2200*W04 midterm- Requires Respondus LockDown Browser

单项选择题

At the end of the fiscal year, the usual adjusting entry to prepaid insurance to record expired insurance was omitted. Which of the following statements is true?

选项
A.None of the other three
B.total assets at the end of the year will be understated.
C.stockholders' equity at the end of the year will be understated.
D.net income for the year will be overstated.
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标准答案
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思路分析
The situation involves an omitted year-end adjusting entry for expired insurance, which means the program should have recognized insurance expense and decreased the prepaid insurance asset, but did not. Option 1: 'None of the other three' would be incorrect because there is a true consequence from omitting t......Login to view full explanation

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