Blossom Company reported the following income statement data for the years ended December 31: Sales Cost of goods sold Gross profit 2017 $545,000 460,000 $85,000 2016 $500,000 460,000 $40,000 The inventories at January 1, 2016, and December 31, 2017, are correct. However, the ending inventory at December 31, 2016, was understated by $27,000. Prepare the correct income statement up to gross profit tor the two years. BLOSSOM COMPANY Income Statement (Partial) 2017 2016 LINK TO TEXT What is the combined effect of the inventory error on total gross profit for the two years? Combined effect of the inventory error LINK TO TEXT