At the end of a reporting period, a company determines that its ending inventory has a net realizable value below cost. What would be the effect(s) of the adjusting entry to record inventory at net realizable value? Multiple Choice O Decrease total assets. O Increase total expenses. o Decrease retained earnings. All of the other answers are correct. A company's correct ending balance for the inventory account at the end of 20x1 should be $5,000, but the company incorrectly stated it as $3,000. In 20x2, the company correctly recorded its ending balance of the inventory account. Which one of the following is true? Multiple Choice Gross profit is overstated by $2,000 in 20X1. Retained earnings are understated by $2,000 in 20X2 Gross profit is overstated by $2,000 in 20X2 Cost of goods sold is understated by $2,000 in 20X1