On December 31, 20xx, Jones Company understated ending inventory by $52,000. How does this error affect Cost of Goods Sold and Net Income for 20xx? a.) Overstates Cost of Goods Sold and Net Income for 20xx? b.) Overstates both COGS and Net Income c.) Understates COGS and overstates Net Income d.) Leaves both COGS and Net Income correct because the errors cancel each other