The CFO of the Zachary Microscope Corporation intentionally misclassified a downstream transportation expense in the amount of $$684,000$ as a product cost in an accounting period when the company made $9,500$ microscopes and sold $6,100$ microscopes. Zachary rewards its officers with bonuses that are based on net earnings.

Required

Indicate whether the components of the financial statements $($i$.$e$.,$ assets, liabilities, stockholders' equity, revenue, expense, and net income$)$ would be overstated or understated as a result of the misclassification of the downstream transportation expense. Determine the amount of the overstatement or understatement for each element.

Note: If there is no effect, select "Not affected" from the dropdown provided. Enter all answers as positive values.