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The financial statements of Crescent Corporation for 2010 & 2011 contained the following errors: Ending inventory -- 2010 = $14,000 overstated -- 20011 = $20,000

The financial statements of Crescent Corporation for 2010 & 2011 contained the following errors: Ending inventory -- 2010 = $14,000 overstated -- 20011 = $20,000 understated Rent Expense -- 2010 = $4,800 understated -- 2011 = $6,600 overstated Assuming that none of the errors were detected or corrected, by what amount will 2010 operating income be overstated or understated? a. 9,200 overstated b. 9,200 understated c. 18,800 understated d. 18,800 overstated

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