Partial income statements for Sherwood Company summarized for a four-year period show the following: Net Sales Cost of Goods Sold 2014 $2,400,000 1,720,000 2015 $2,800,000 1,980,000 2016 $2,900,000 2,090,000 2017 $3,400,000 2,420,000 Gross Profit 680,000 820,000 810,000 980,000 An audit revealed that in determining these amounts, the ending inventory for 2015 was overstated by $28,000. The inventory balance on December 31, 2016, was accurately stated. The company uses a periodic inventory system. Required: 1. Restate the partial income statements to reflect the correct amounts, after fixing the inventory error. Sherwood Company Income Statements (Corrected) 2014 2015 2016 2017 Net sales $ 2,400,000 $ 2,800,000 $ 2,900,000 $ 3,400,000 Cost of goods 1,720,000 2,008,000 2,118,000 2,268,000 sold Gross profit $ 680,000 $ 792,000 782,000 $ 1,132,000 *Red text indicates no response was expected in a cell or a formula-based calculation is incorrect; no points deducted