On December 30, 1979, merchandise amounting to \(\$ 750\) was received by the Perrin Company and was counted in its December 31 listing of all inventory items on hand. The invoice was not received until January 4, 1980, at which time the acquisition was recorded as of that date. The acquisition should have been recorded for 1979. Assume that the error was not discovered by the firm when the invoice was received, and that Perrin Company uses the periodic inventory method. Indicate the effect (overstatement, understatement, none) on each of the following amounts.

a Inventory, 12/31/79.

b Inventory, 12/31/80.

c Cost of goods sold, 1979 .

d Cost of goods sold, 1980.

e Net income, 1979.

f Net income, 1980.

g Accounts payable, 12/31/79.

h Accounts payable, 12/31/80.

i Retained earnings, 12/31/80.