3) In 2020, ABC Corporation discovered that equipment purchased on January 1, 2018, for $50,000 was expensed at that time. The equipment should have been depreciated over 5 years, with no salvage value. Prepare ABC's 2020 journal entry to correct the error. ABC uses straight-line depreciation. 4) Indicate the effect -Understate, Overstate, No Effectthat each of the following errors has on 2020 net income and 2021 net income. a. b. C. d. e. Equipment (with a useful life of 5 years) was purchased and expensed in 2018. Wages payable were not recorded at 12/31/20. Equipment purchased in 2020 was expensed. 2020 ending inventory was overstated. Patent amortization was not recorded in 2021