Hudson river bakery reported net sales revenue of $51, 000 and cost of good sold out of $30, 000

Hudson River Bakery reported net sales revenue of $51,000 and cost of goods sold of $30,000. Compute Hudson River's correct gross profit if the company made either of the following independent accounting errors, a. Ending merchandise inventory is overstated by $8,000 b. Ending merchandise inventory is understated by $8,000 Cost of Goods Sold and Gross Profit Corrected for the Error Ending Merchandise Inventory: As Reported - (a) Overstated by (b) Understated by Incorrect $8,000 $8,000 $ 51,000 $ 51,000 $ 51,000 30,000 Net sales revenue Cost of goods sold Gross profit