Why this is mistaken
Keep gross and net views. Errors that offset total income may distort revenue, expense, assets, liabilities, segments, trends, or disclosures. Aggregate them only after preserving each origin, period, class, and qualitative factor.
Where to watch
When this mistake may appear
- Two or more errors have opposite signs.
Check your work
Your work may contain this mistake if:
- Reports only the net effect and drops the individual account and period consequences.