ABC, Inc. is a calendar-year corporation. Its financial statements for the years 2021 and 2020 contained errors as follows:

2021 2020

Ending inventory $9,000 overstated $24,000 overstated

Depreciation expense $6,000 understated $18,000 overstated

Assume that the proper correcting entries were made at December 31, 2020. By how much will 2021 income before taxes be overstated or understated?

A) $15,000 overstated B) $ 3,000 understated

C) $ 6,000 overstated D) $ 3,000 overstated