1. prepare corrected income statements for 2011 and 2010. use minus for negative values. enter expenses as postive amounts.

Effects of an Error in Ending Inventory Waymire Company prepared the partial income statements presented below for 2011 and 2010. 2011 $538,200 2010 $483,700 Sales revenue Cost of goods sold: Beginning inventory Purchases Cost of goods available for sale Ending inventory Gross margin Operating expenses Income before taxes $ 39,300 343,200 $382,500 46,800 $ 32, 100 292,700 $324,800 39,300 335 700 $202,500 167,200 $ 35,300 285,500 $198,200 151,600 $ 46,600 During 2012, Waymire's accountant discovered that ending inventory for 2010 had been overstated by $8,200. Waymire Company Income Statement For 2011 and 2010 2011 2011 2010 2010 $ 538200 483700 Sales revenue Cost of goods sold: Beginning inventory 32100 292700 Purchases 343200 Cost of goods available for sale 324800 Ending inventory - 46800 Gross margin Operating expenses 167200 151600 Income before taxes