inventory ABC Inc. is a calendar year corporation. Its financial statements for the years n and (n - 1) contained the following errors Year n . Ending inventory $6,000 overstated; Depreciation expense $4,000 understated. Year (n - 1) Ending inventory $12,000 overstated; Depreciation expense $9,000 overstated. Assume that the proper correcting entries were made at December 31, Year (n - 1). By how much will the Year n income before taxes be overstated or understated? A $10,000 overstated $2,000 understated C $5,000 overstated D $7,000 overstated