Spartan Corporation discovered these errors in August of Year 3: Depreciation Overstated Year Prepaid Expense Omitted $2,700 2,000 1 $2,500 4,000 2 Reported Net Income for Year 1 was $20,000. Reported Net Income for Year 2 was $18,000. The correct Year 2 Net Income is: Select one: O a. $25,200 O b. $24,700 O c. $22,700 O d. $18,700 O e. $21,300