Navajo Company's financial statements show the following. The company recently discovered that in making physical counts of inventory, it had made the following errors: Year 1 ending inventory is understated by $56,000, and Year 2 ending inventory is overstated by $26,000. For Year Ended December 31 (a) Cost of goods sold (b) Net income (c) Total current assets (d) Total equity Year 1 Year 2 $ 731,000 $ 961,000 274,000 281,000 1,253,000 1,366,000 1,393,000 1,586,000 Year 3 $ 796,000 256,000 1,236,000 1,251,000 Required: 1. For each key financial statement figure(a), (b), (c), and (d) below-prepare a table to show the adjustments necessary to correct the reported amounts. 2. What is the total error in combined net income for the three-year period resulting from the inventory errors? Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each key financial statement figure-(a), (b), (c), and (d) below-prepare a table to show the adjustments necessary to correct the reported amounts. (Amounts to be deducted must be entered with a minus sign.) Year 1 Year 2 Year 3 Cost of goods sold: Reported amount Adjustments for: 12/31/Year 1 error 12/31/Year 2 error Corrected amount Net income: Reported amount Adjustments for: 12/31/Year 1 error 12/31/Year 2 error Corrected amount Total current assets: Reported amount Adjustments for: 12/31/Year 1 error 12/31/Year 2 error Corrected amount Equity: Reported amount Adjustments for: 12/31/Year 1 error 12/31/Year 2 error Corrected amount Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the error in total net income for the combined three-year period resulting from the inventory errors? Error in total net income of three years