Due to an error in computing depreciation expense, Prewitt Corporation overstated accumulated depreciation by $20 million as of December 31, 2021. Prewitt has a tax rate of 30%. Prewitt's retained earnings as of December 31, 2021, would be:

B. understated by $14 million.

Explanation:

The options given are

A. overstated by $6 million.

B. understated by $14 million.

C. understated by $6 million.

D. overstated by $14 million.

When entry are posted to accumulated depreciation, the corresponding entry is posted to the depreciation expense account. These are credit and debit respectively. As such, when accumulated depreciation is overstated, depreciation also is overstated by the same amount ($20 million).

This will reduce the net income before tax by $20 million as well. If the tax rate is 30%,

amount of understatement in tax expense is

= 30% * $20 million,

= $6 million

as such net income after tax is understated by

= $20 million - $6 million

= $14 million

answer: a. the kind of population living in your neighbourhood.

the census explorer data tool by the us census bureau allows the user to zoom in on any neighbourhood within the united states and find the kind of people residing in that by race and age.  

the tool needs to needs to be used twice – once in order to find what type of people reside in a neighbourhood, and then to see the age groups of the people in the same neighbourhood.