Ending inventory is overstated $17,000 at 12/31/X5. Ending inventory is understated $12,000 at 12/31/X6. Reported net income = $55,000 for x5, $72,000 for x6. Reported retained earnings at 1/1/X7 = $675,000. Correct net income for x5 is A. $38,000 B. c. $60,000 D. $50,000 $67,000 E $72,000 Correct net income for x6 is A. $43,000 B. $67,000 C. $77,000 D. $ 84,000 E. $101,000 Correct retained earnings at 1/1/X7 is A. $646,000 B. $663,000 C. $680,000 D. $687,000 E. $704,000