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 $50,000, and Year 2 ending inventory is overstated by $20,000. $ $ For Year Ended December 31 (a) Cost of goods sold (b) Net income (c) Total current assets (d) Total equity Year 1 725, 000 268,000 1, 247,000 1,387,000 Year 2 Year 3 955, 000 $ 790,000 275, 000 2 50,000 1, 360,000 1,230,000 1,580, 0001, 245,000 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 Required 1 Required 2 > 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 $50,000, and Year 2 ending inventory is overstated by $20,000. $ $ $ For Year Ended December 31 (a) Cost of goods sold (b) Net income (c) Total current assets (d) Total equity Year 1 725,000 268, 000 1, 247,000 1,387,000 Year 2 955, 000 2 75,000 1,360,000 1,580, 000 Year 3 790,000 250,000 1,230,000 , 245,000 1 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 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 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 $50,000, and Year 2 ending inventory is overstated by $20,000. $ $ For Year Ended December 31 (a) Cost of goods sold (b) Net income (c) Total current assets (d) Total equity Year 1 725, 000 268,000 1, 247,000 1,387,000 Year 2 Year 3 955, 000 $ 790,000 275, 000 2 50,000 1, 360,000 1,230,000 1,580, 0001, 245,000 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 Required 1 Required 2 > 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 $50,000, and Year 2 ending inventory is overstated by $20,000. $ $ $ For Year Ended December 31 (a) Cost of goods sold (b) Net income (c) Total current assets (d) Total equity Year 1 725,000 268, 000 1, 247,000 1,387,000 Year 2 955, 000 2 75,000 1,360,000 1,580, 000 Year 3 790,000 250,000 1,230,000 , 245,000 1 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 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