If a company understated its ending inventory balance for $2022$ by $$5,000,$ and overstates its

ending inventory balance for $2023$ by $$8,000,$ what are the effects on its net income for $2023?$

A$.$ Overstated by $$3,000$

B$.$ Understated by $$3,000$

C$.$ Overstated by $$13,000$

D$.$ Understated by $$13,000$

E$.$ Understated by $$8,000$