Overstating the ending inventory causes the cost of goods sold to be overstated and net income to be understated.
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Q12: Last-in, first-out costing assigns the most recent
Q13: A widely used method of allocating merchandise
Q14: Errors in the ending inventory have a
Q15: When prices are rising, net income calculated
Q16: If market value is less than cost,
Q18: The loss due to write-down of inventory
Q19: The natural business year is a fiscal
Q20: If merchandise is shipped FOB destination, the
Q21: Under the perpetual inventory system, the balance
Q22: When merchandise is acquired on account and
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