An auditor is reviewing sales cutoff as of March 31, 20X9. All sales are shipped FOB destination and the company records sales three days after shipment (i.e., shipments on the 3rd of the month are recorded on the 6th of the month). The auditor notes the following transactions:

Date Shipped	Month Recorded	Selling Price (OOO's)	Cost (OOO's)
March 28	March	$ 200	$ 192
March 29	March	44	40
March 30	April	81	77
April 2	March	220	208
April 5	April	92	84

If the entity records the required adjustments, the net effect on income (in thousands of dollars) for the period ended March 31, 20X9 is

Multiple Choice

an increase of 12.

an increase of 16.

a decrease of 12.

a decrease of 16.