Merchandise inventory includes all of the following except:Colman Company reports ending inventory in year $1$ of $$25,000$ instead of the correct amount of $$20,000.$ The effects of this error include:

multiple choice

Year $1$ ending inventory is understated and year $1$ cost of goods sold is overstated

Year $1$ ending inventory is overstated and year $1$ cost of goods sold is understated

Year $1$ ending inventory is understated and year $1$ cost of goods sold is understated

Year $1$ ending inventory is overstated and year $1$ cost of goods sold is overstated

multiple choice

Goods held for sale

Goods located in the warehouse

Goods sold

Goods located in an off$-$site warehouse