Intermediate Financial Management (MindTap Course List)
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN: 9781337395083
Author: Eugene F. Brigham, Phillip R. Daves
Publisher: Cengage Learning
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Financial accounting question

A company failed to record unrealized gains of $30 million
on its available-for-sale security investments. Its tax rate
is 35%. As a result of this error, comprehensive income
would be (Round million answer to 2 decimal places.):
A. Understated by $30.00 million.
B. Unaffected.
C. Understated by $10.50 million.
D. Understated by $19.50 million.
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Transcribed Image Text:A company failed to record unrealized gains of $30 million on its available-for-sale security investments. Its tax rate is 35%. As a result of this error, comprehensive income would be (Round million answer to 2 decimal places.): A. Understated by $30.00 million. B. Unaffected. C. Understated by $10.50 million. D. Understated by $19.50 million.
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Intermediate Financial Management (MindTap Course...
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ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Cengage Learning