During the taking of its physical inventory on December 31, 2014, Barry's Bike \$hop incorrectly counted its inventory as $223,638 instead of the correct amount of $165,697. The effect on the balance sheet and income statement would be a. assets overntated by $57,941; retained earaings undersated by $57,941; and net income stasement understafed by $57,941 b. assets oventated by $57,941; retained eamings understated by 557,941 ; and no effect on the income statemets e. assets, retainted carnings, ind set income all oventated by 557,941 d. assets and retained eaminge oventated by $57,941; and net income understated by $57,941