Hawk Store counted some of its inventory twice.As a result,its operating expenses will be
A)correct only if Hawk Store calculates it cost of goods sold correctly.
B)correct since operating expenses are not affected by inventory costs.
C)overstated.
D)understated.

Question

Quizplus · Accepted Answer

Operating expenses are separate from inventory costs, so counting inventory twice does not affect the calculation of operating expenses.

Hawk Store Counted Some of Its Inventory Twice