Over valued of the ending inventory will cause: 1- decrease in the net income 2- increase in the net income?

Question

AYMAN EL KASHLAN · Answer

INCREASE NET INCOME BECAUSE IT DECREASE IT DECREASE COGS

Muhammad Afaq · Answer

The overvalued closing inventory on one side decreases the COGS and on the other side have increases the GP and Net income.

Pramod Menon · Answer

Increase in the net income.

مستخدم محذوف‎ · Answer

Increase in the Net Income

Habibullah Usman · Answer

If the ending inventory is increased/over valued, there will be decrease in COGS, which will result in increse in net income.

Hasan Md. Ibrahim Hussain Nadvi · Answer

COGS increases, so net income will increase.

JAVED ASHRAF · Answer

INCREASE IN THE NET INCOME

Prince Ninan · Answer

Increase in net income or decrease in loss, if loss, in the current year and decrease in net income or increase in loss,if loss, in the next year