Develop the expected amounts for 20X4 for each of the income statement items (based on 1-6 on pdf download). Uden’s unaudited financial statements for the current year show a 31 percent gross profit rate. Assuming that this represents a misstatement from the amount that you developed as an expectation, calculate the estimated effect of this misstatement on net income before taxes for 20X4. Explain why this is material or not material. (SHOW CALCULATIONS.)
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