Prepare the income statements to reflect the correct amounts, taking into consideration the inventory error.

Required information [The following information applies to the questions displayed below.] The income statement for Pruitt Company summarized for a four-year period shows the following: 548, 854, 943 , 882, 471, 498, 534, 539,000 77 , 356,000 409 , 343, 23, 100 106,800 122, 102, 900 $53, 900 Sales revenue Cost of goods sold Gross profit Expenses Pretax income Income tax expense (30%) Net income 2016 $2, 034, 2017 $249,200 2018 1, 771,000 $286,300 2019 $240, 100 An audit revealed that in determining these amounts, the ending inventory for 2017 was overstated by $25,000. The company uses a periodic inventory system. Required: 1. Prepare the income statements to reflect the correct amounts, taking into consideration the inventory error. PRUITT COMPANY Income Statement For the Four-Year Period 2016 Sales revenue Cost of goods sold Gross profit Expenses Pretax income Income tax expense (30%) Net income 2017 2018 2019