The correct answer is A. The period's end assets to be overstated.
The error of cash dividend being recorded by debiting operations causes the period's end assets to be overstated.
The retained earning of a corporation get decreased if declared cash dividends which are on the stock and then the liabilities increase.
Payment of dividend and declaration, results that stockholders equity and assets they decrease.
Therefore, the retained earnings and balance sheet accounts also decreases.
I believe the answer is D. None of the Above
because the error would cause the period end net income to be understated.
