ot of these observations. by the observation, check the "No Effect" box. Gross Profit Overstated Understated Operating Expenses Overstated Understated Income from Operations Overstated Understated No Effect ot of these observations. by the observation, check the "No Effect" box. Gross Profit Overstated Understated Operating Expenses Overstated Understated Income from Operations Overstated Understated No Effect