8.28. If a company uses the periodic inventory system, what is the impact on net...
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8.28. If a company uses the periodic inventory system, what is the impact on net income of including goods in transit f.o.b. shipping point in purchases, but not ending inventory? And explain why? Overstate net income/Understate net income./No effect on net income.
8.29.If a company uses the periodic inventory system, what is the impact on the current ratio of including goods in transit f.o.b. shipping point in purchases, but not ending inventory? And explain why?
a.Overstate the current ratio./b.Understate the current ratio./c.No effect on the current ratio.
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