E8-12B (Inventory Errors) The net income per books of Alfonso Company was determined without knowledge of the errors indicated.

E8-12B (Inventory Errors) The net income per books of Alfonso Company was determined without

knowledge of the errors indicated.

Net Income Error in Ending

         Year                                  per Books                Inventory

        2010                           $50,000                      Understated $ 8,000

        2011                             71,000                      Overstated 6,000

        2012                              78,000                     No error

        2013                              65,000                      Overstated 6,000

        2014                              68,000                      Understated 3,000

        2015                              72,000                      Understated 2,000

Instructions

Prepare a work sheet to show the adjusted net income figure for each of the 6 years after taking into account

the inventory errors.