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d). Compute Cold's adjusted net income for year ending on December 31, 2022 and December 31, 2023. Note that only upstream sales will affect

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d). Compute Cold's adjusted net income for year ending on December 31, 2022 and December 31, 2023. Note that only upstream sales will affect Cold's net income and therefore will be adjusted. Cold's adjusted net income for year ending on December 31, 2022: Cold's reported net income Less: Unrealized profit in ending inventory Cold's adjusted net income for 2022 180,000 (4,800) 175,200 For year ending on December 31, 2023 Cold's reported net income Less: 200,000 Unrealized profit in beginning inventory Unrealized gain in sale of equipment Excess depreciations 4,800 (8,000) 1,600 Cold's adjusted net income for 2023 198,400

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