Respuesta :
The understatement of revenues, net income, assets (accounts receivable), and owner's equity results from the omission to record correcting entries for accrued fees.
At the conclusion of the current year, the impact of removing the adjusting item for accrued fees was removed. This implies that the omitted items—revenues, net income, assets (accounts receivable), and owner's equity—will contain errors.
a) An income statement shows the recurring revenues, expenses, and profitability of a company. It is also sometimes referred to as a profit-and-loss (P&L) or earnings statement. Your sales revenue for products and services is shown. Accounts Receivable, costs associated with running your business and making money.
b) Why is a balance sheet produced at the end of the year?
The balance sheet shows the financial condition of a company on December 31 at the end of an accounting period. A company's balance sheet reveals its: Assets (resources gained through previous deals) (resources that were acquired in past transactions) Liabilities (debts from customers and commitments) (obligations and customer deposits).
To learn more about Accounts Receivable visit:
brainly.com/question/13166196
#SPJ4
