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05-06-2023
Business

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A company using the periodic inventory system. Ending inventory was overstated at the end of year 1. Which of the following statements is true if the error is detected in year 3? There were no other inventory errors. Income is overstated and current assets are understated. O Inventory is understated and income is overstated. Income and retained earnings are correct. Retained earnings is understated and inventory is overstated.

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