napter 9 Homework 2 Saved oints ebook Assume that the ending inventory of a merchandising firm is understated by $16,200. Required: a. By how much and in what direction (overstated or understated) will the firm's cost of goods sold be misstated? b. If this error is not corrected, what effect will it have on the subsequent period's operating income? c. If this error is not corrected, what effect will it have on the total operating income of the two periods (the period in which there is an error and the subsequent period) combined? Print Complete this question by entering your answers in the tabs below. References Req A Req B and C By how much and in what direction (overstated or understated) will the firm's cost of goods sold be misstated? Cost of goods sold by Req B and C > 2 Assume that the ending inventory of a merchandising firm is understated by $16,200. Required: Oook a. By how much and in what direction (overstated or understated) will the firm's cost of goods sold be misstated? b. If this error is not corrected, what effect will it have on the subsequent period's operating income? c. If this error is not corrected, what effect will it have on the total operating income of the two periods (the period in which there is an error and the subsequent period) combined? Pant Complete this question by entering your answers in the tabs below. eferences Req A Req B and C b. If this error is not corrected, what effect will it have on the subsequent period's operating Income? c. If this error is not corrected, what effect will it have on the total operating income of the two periods (the period in which there is an error and the subsequent period) combined? b. Operating income will be Operating income will be