Monday, December 17, 2018

For a recent period, the balance sheet for Costco Wholesale Corporation reported accrued expenses of $3,446 million

For a recent period, the balance sheet for Costco Wholesale Corporation reported accrued expenses of $3,446 million. For the same period, Costco reported income before income taxes of $3,197 million. Assume that the adjusting entry for $3,446 million of accrued expenses was not recorded at the end of the current period. What would have been the income (loss) before income taxes?


Answers:
Income: $6,643 million ($3,197 + $3,446)


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