8. While working on the audit for One Company for the year ended December 31, 2019, you discover repair and maintenance costs of $40,000 were incurred early in 2017. These costs were capitalized into the equipment account and depreciated over a 4-year period. Depreciation of $5,000 was recorded for 2017 and $10,000 for 2018. The error caused which of the following? A. 2017 Net income to be overstated by $25,000. B. 2017 Net income to be understated by $35,000. C. 2018 Retained Earnings to be overstated by $25,000. D. 2018 Retained Earnings to be understated by $35,000. E. None of the above