The reported net incomes for the first 2 years of Sinclair Products, Inc., were as follows: 2012, $147,000; 2013, $185,000. Early in 2014, the following errors were discovered. 1.Depreciation of equipment for 2012 was overstated $19,000. 2.Depreciation of equipment for 2013 was understated $38,500. 3.December 31, 2012, inventory was understated $50,000. 4.December 31, 2013, inventory was overstated $14,200