The revenue and expense accounts of Ray's Enterprises are shown below: Financial statements were prepared at the end of the fiscal period. The net income was $$25000.$ The accountant quit after preparing the statements and a new accountant began work in the new year. At the end of the second year, the accounts appear as summarized below:

Financial statements prepared at the end of the second year indicated a net income of $$65000.$

The owner thought this was too good to be true. The owner was right!

$($a$)$ Why is the $$65000$ net income figure incorrect?

$($b$)$ What is the correct net income for the second year?