If a journal entry and posting for the use of office supplies during the year is accidentally omitted, what would be the impact on the financial statements

It is imperative to have accurate information when completing year end financial statements. If a journal entry and posting for the use of office supplies was omitted in error, the financial statements would not be complete, and the company could possibly lose out on a tax deduction.

200 greeting cards must be sold in order to achieve the breakeven. By seeling 200 greeting cards the company will be in position of no profit and loss position.

Explanation:

The breakeven point could be found from the following formula:

Breakeven Point = Fixed Cost / Contribution per unit Eq 1

Here

Contribution per unit = Selling Price - Variable Cost

Contribution per unit = $3 - $1 = $2 per unit

Putting values in the equation 1, we have:

Breakeven Point = $400 / $2 per unit = 200 units