Rockford Company paid $24,000 for a 3-year insurance premium on July 1,2021 . The $24,000 was charged to insurance expense when paid. What is the effect of the error on the net income on the income statement for 2021 and 2022 ? \begin{tabular}{|c|c|} \hline 2021 net income & 2022 net income \\ \hline Too low $16,000 & Too high $8,000 \\ \hline 2021 net income & 2022 net income \\ \hline Too low $20,000 & Too high $8,000 \\ \hline 2021 net income & 2022 net income \\ \hline Too high $20,000 & Too low $8,000 \\ \hline 2021 net income & 2022 net income \\ \hline Too high $24,000 & Too low $8,000 \\ \hline \end{tabular}