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A company failed to record unrealized gains of $37 million on its debt Investments classified as trading securities. Its tax rate is 30%. As a result of this error, total shareholders' equity would be (Round million answer to 2 decimal places.): Multiple Choice Understated by $25.90 million Understated by $37.00 million Understated by $11.10 million. Unaffected. A company switched from the cash basis to the accrual basis for recognizing warranty expense. The unrecorded liability for warranties was $2.8 million at the beginning of the year. Its tax rate is 30%. The company booked a year-end warranty liability of $4 million. As a result of this change, the firm would: Multiple Choice Report a current period charge decreasing net Income by $840,000. O Report a prior period adjustment decreasing retained earnings by $1.960.000. O Report a current period charge decreasing net Income by $1.960.000. O Report a current per Report a prior period adjustment decreasing retained earnings by $840,000 At the end of the current year, a company failed to accrue Interest of $590,000 on its Investments in municipal bonds. Its tax rate is 40%. As a result of this error,net Income is: Multiple Choice O Unaffected. O Understated by $354.000. Understated by $590,000 O Understated by $236.000