Dalez Corporation prepared the following two statements of earnings (simplified for illustrative purposes): Second Quarter First Quarter 2017 Sales revenue $ 13,100 2017 $20,100 Cost of sales Beginning inventory $ 4,700 $ 4,500 Purchases 3,700 13,700 Cost of goods available for sale 8,400 18,200 Ending inventory 4,500 9,700 Cost of sales 3,900 8,500 Gross profit 9,200 11,600 Expenses (operating) 5,700 6,700 Pretax earnings $3,500 $ 4,900 During the third quarter, it was discovered that the ending inventory for the first quarter should have been $4,970, 3. Prepare corrected statements of earnings for each quarter. Cost of sales: First Quarter 2017 Second Quarter 2017 0 0 0 0 0 0 + $ 0 $ 0 4. Set up a schedule with the following headings to reflect the comparative effects of the correct and incorrect amounts on the statement of earnings: (Select "Understated" or "Overstated" as applicable. Leave no cells blank; select "No error" from the dropdowns if no error is recognized. Input all amounts as positive values.) Statement of Earnings Item Beginning inventory Ending inventory Cost of sales Gross profit Pretax earnings Incorrect Amount First Quarter 2017 Correct Amount Second Quarter 2017 Error (if any) Incorrect Amount Correct Amount Error (if any)