eBook Calculator Print item Effect of Errors in Physical Inventory Fonda Motorcycle Shop sells motorcycles, ATVs, and other related supplies and accessories. During the taking of its physical inventory on December 31, 2018, Fonda Motorcycle Shop incorrectly counted its inventory as $231,880 instead of the correct amount of $222,600. Enter all amounts as positive numbers. a. State the effect of the error on the December 31, 2018, balance sheet of Fonda Motorcycle Shop Balance Sheet Items Overstated/Understated Amount Merchandise Inventory Current Assets Total Assets Owner's Equity b. State the effect of the error on the income statement of Fonda Motorcycle Shop for the year ended December 31, 2018 Income Statement Items Overstated/Understated Amount Cost of Merchandise Sold Gross Profit Net Income c. If uncorrected, what would be the effect of the error on the 2049 income statement? Understated/Overstated Amount Income Statement Items Coat of Merchandien Ind