A company switched from the cash basis to the accrual basis for recognizing warranty expense. The unrecorded liability for warranties was $3.0 million at the beginning of the year. Its tax rate is 20%. The company booked a year-end warranty ability of $4 million. As a result of this change, the firm would: Multiple Choice o Report a current period charge decreasing net income by $600.000 o Report a current period charge decreasing net income by $2.400,000 o Report a prior period adjustment decreasing retained earnings by $2.400000 o Report a prior period adjustment decreasing retained earnings by $600.000