Part III (4 points) (During 2017the company discovered the following account errors

1. In July 1 2015, XYZ corporation Acquired an equipment at cost of $30000 the estimated useful life for the machine 5 years and the residual value zero However, company failed to record depreciation since the date of acquisition in 2015. Company subject to 40% tax rate.
2. Ending inventory for year 2015 was understated by $ 2000.
3. Ending inventory for year 2916 was overstated by $1500.

Required : .Show the dollar amount of the combined effect, if any, and the nature of the effect (overstatement or understatement or correct) of these accounting errors on the reporting value of the following financial statement items as in the following table: ( use table in the answer sheet)

F S items	the combined impact on reporting value of FS items
NI 2015
Total Assets Dec. 31 2016
Owners Equity Dec. 31 2016
Total liability 2016