Business, 06.05.2020 06:16, trint4

On January 1, 2017, Columbia Corp. changed its inventory method to FIFO from LIFO for both financial reporting purposes. The change resulted in an increase in the Inventory account. The net of tax amount of the increase was $2,320,000 on January 1, 2017 (all tax effects should be ignored).
The cumulative effect of the accounting change should be reported by Columbia in its 2017:

a) retained earnings statement as a $1,740,000 addition to the beginning balance.
b) income statement as a $2,320,000 cumulative effect of accounting change.
c) retained earnings statement as a $638,000 addition to the beginning balance.
d) income statement as a $1,740,000 cumulative effect of accounting change.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 13:00, alanahjones63

Match the following definitions to your vocabulary words. 1. separation from a main group to form a new group as a result of disunity ethnic 2. group of people that share a distinctive race, culture, heritage, or nationality discrimination 3. removal of legal and social barriers which impose separation of groups integration 4. practice that treats equal people unequally; denial of opportunities to compete for social and economic rewards stereotyping 5. acting in a biased manner; using prejudicial thinking segregation

Answers: 3

continue

Business, 22.06.2019 05:00, mjam85877

What is free trade? a. trade that is not subject to taxes or fees b. trade that governments do not interfere with c. trade with a high level of government regulation d. trade between states in the u. s. b

Answers: 1

continue

Business, 22.06.2019 05:50, cdubble04

Which is one solution to levy the complexity of the global matrix strategy with added customer-focused dimensions?

Answers: 3

continue

Business, 22.06.2019 10:10, manny2275

True tomato inc. makes organic ketchup. to promote its products, this firm decided to make bottles in the shape of tomatoes. to accomplish this, true tomato worked with its bottle manufacture to create a set of unique molds for its bottles. which of the following specialized assets does this example demonstrate? (a) site specificity (b) research specificity (c) physical-asset specificity (d) human-asset specificity

Answers: 3

continue

Do you know the correct answer?

On January 1, 2017, Columbia Corp. changed its inventory method to FIFO from LIFO for both financial...