At the end of 2017, the Stone Company failed to adjust supplies inventory (recorded as an asset) for the portion of supplies used during 2017. This error results in (Select ONE best answer):

None of the other choices are correct.

2017 net income is understated, retained earnings at the end of 2017 is understated, and assets are understated at the end of 2017

2017 net income is overstated, retained earnings at the end of 2017 is overstated, and assets are overstated at the end of 2017

2017 net income is overstated, retained earnings at the end of 2017 is overstated, and assets at the end of 2017 are correct