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  3. petunia inc. has the following statement of financ

Petunia Inc. has the following statement of financial position information available: 15. Current Assets...

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Accounting

Petunia Inc. has the following statement of financial position information available:
15. Current Assets 16.17.18. Current Liabilities 19.
20. Cash 21. $25,00022.23. Accounts Payable 24. $80,000
25. Accounts Receivable 26.105,00027.28. Accrued Liabilities 29.65,000
30. Inventory 31.120,00032.33. Deferred Revenue 34.15,000
The inventory and accounts payable accounts are overstated by $25,000. What is Petunias actual current ratio and what was the impact of the inventory error on the current ratio calculation? (round to 2 decimal places)
Current Ratio Impact
a)1.56 Overstated
b)1.56 Understated
c)1.67 Overstated
d)1.67 Understated

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