Next Question The accounting records of New Life Home Store show these data (in millions): (Click the icon to view the income statements.) The shareholders are very happy with New Life's steady increase in net income. However, auditors discovered that the ending inventory for 2019 was understated by $3 million and that the ending inventory for 2020 was understated by $4 million. The ending inventory at December 31, 2021, was correct. Read the requirements. .... Requirement 1. Show corrected income statements for each of the three years. (Enter all amounts i millions as provided in the question.) New Life Home Store Income Statements (adapted; amounts in millions) Years Ended December 31, 2021, 2020, and 2019 2021 2020 2019 Net sales revenue Cost of goods sold: Beginning inventory Net purchases Cost of goods available Less ending inventory Cost of goods sold Gross profit LIID Operating expenses Net income Data Table 2021 2020 2019 $ 49 $ 46 43 Net sales revenue Cost of goods sold: Beginning inventory $ 11 $ 10 $ 9 32 30 28 Net purchases Cost of goods available Less ending inventory (12) (11) (10) 31 29 27 Cost of goods sold Gross profit 18 16 17 9 9 9 Operating expenses $ 9 $ 8 $ 7 Net income Print Done Requirements 1. Show corrected income statements for each of the three years. 2. How much did these assumed corrections add to or take away from New Life's total net income over the three-year period? How did the corrections affect the trend of net income? 3. Will New Life's shareholders still be happy with the company's trend of net income? Explain. Print Done