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 $51,000, and Year 2 ending inventory is overstated by $21,000. $ $ $ For Year Ended December 31 (a) Cost of goods sold (b) Net income (c) Total current assets (d) Total equity Year 1 726,000 269,000 1,248,000 1,388,000 Year 2 956,000 276,000 1,361,000 1,581,000 Year 3 791,000 251,000 1,231,000 1,246,000 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? 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 0 $ 0 $ Corrected amount Net income: Reported amount Adjustments for: 12/31/Year 1 error 12/31/Year 2 error 0 $ 0 $ 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 or: 12/31/Year 1 error 12/31/Year 2 error Corrected amount 0 $ 0 $ 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