instead of the correct amount of $687,000. Enter all amounts as positive numbers. a. State the effects of the error on the December 31,20V8, balance sheet of Madison River Supply. b. State the effects of the error on the income statement of Madison River Supply for the year ended December 31, 20 Y8. c. If uncorrected, what would be the effects of the error on the 20V9 income statement? d. If uncorrected, what would be the effects of the error on the December 31, 20V9, balance sheet? 1. The balance sheet would be correct, because the 20V8 inventory error reverses itself in 20V9. 2. The income for 20V9 would be understated. 3. The current assets in 20Y9 would be overstated. 4. The current assets in 20V9 would be understated. Feadtsack Check My Wark sheet? The balance sheet would be automatically correct the following year, if the error is not corrected. sheet? An incorrect ending inventory in one year becomes an incorrect beginning inventory the next year