Zimt AG wrote down the value of its inventory in 2017 and reversed the write- down in 2018. Compared to the results the company would have reported if the write-down had never occurred, Zimt’s reported 2018:
A profit was overstated.
B cash flow from operations was overstated.
C year-end inventory balance was overstated.
为什么选A? 为什么inventory write down 会导致COGS增加？是由COGS= Inventory (begin)+Purchase- Inventory (ending) 这个公式得出的吗？write down之后Inventory (ending) 变小所以COGS增加？
