This Question 1 pl This Quito Everes both the following dat Irmany 2020, tors found that the ending merchandisinentory for 2017 was understated by 17.000 that the ending merchandisey 2018 wed by 58.000 The grande 302 Read more Ending Werchandise Ending Merchandise Inventory Overstated Inventory Undert by 1.000 Correct by 17.000 Net 21000 Cast of Goods Being Machine story 23000 Coot of Pu 135000 Coul of Avis for 158000 Les Ending Mechan Cat Bold OP Opening Expense 50000 Net Requirement 2. whaterach year's recome your comment- Dita Tube Year Promotion was 2010 7000 2010 Choose from any store sold and the conte ram| Cool Savetor Line 2011 2010 126000 1900 OM 6 7 B 3 5 4 0 T W (Click the icon to view the income statements.) In early 2020, auditors found that the ending merchandise inventory for 2017 was understated by $7,000 and that the ending merchandise inventory for 2019 was ove was correct Data Table 2019 2018 2017 $ 216,000 $164,000 $ 174,000 S $ 23,000 135,000 $ 30,000 92,000 41,000 79.000 Net Sales Revenue Cost of Goods Sold Beginning Merchandise Inventory Net Cost of Purchases Cost of Goods Avaliable for Sale Less: Ending Merchandise Inventory Cost of Goods Sold Gross Profit 158,000 31,000 122,000 23,000 120,000 30,000 127,000 99,000 90,000 84,000 89,000 59,000 65,000 40,000 47.000 Operating Expenses $ 30,000 5 25,000 37.000 R Net Income inderstatement or overst Print Done Choose from any list or enter any number in the input fields and then continue to the next question Save for Lator Evergreen Carpets's books show the following data Click the icon to view the income statements) In early 2020, auditors found that the ending merchandise Inventory for 2017 was understated by $7.000 and that the ending merchandise inventory for 2019 was overstated by $8,000. The was correct Read the requirements Requirement 2. State whether each year's net income before your corrections understated or overstated, and indicate the amount of the understatement or overstatomart. Year 2019 Prior to correction net income was understated by 7000 overstated by 7000 overstated by 8000 2018 2017 Requirement 3. Compute the inventory tumover and days' sales in inventory using the corrected income statement for the three years. (Round all numbers to two decimale) Select the labels and enter the amounts to compute inventory turnover for each year. (Round your answers to two decimal places, X.XX.) Inventory tumover 2019 times 2018 times times Now select the labels and enter the amounts to computo days' sales in inventory for each year. (Enter all amounts to two decimal places, XXX) Days' sales in inventory days 2019 days 2017 days 2017 2018 Choose from any list or enter any number in the input fields and then continue to the next question Save for Later