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Trombly purchased 10% of ABC stock for $100,000 on 1/1/17.Data regarding these securities follow: For the Year Ended Market Value December 31, 2017 $109,000 December

Trombly purchased 10% of ABC stock for $100,000 on 1/1/17.Data regarding these securities follow:

For the Year Ended

Market

Value

December 31, 2017

$109,000

December 31, 2018

89,000

December 31, 2019

94,000

Assume that Trombly erroneously accounted for these equity securities as if they were "Available for Sale" bonds since their purchase.Net Income for 2019will be:

Select one:

a.$ 6,000 understated

b.$15,000 overstated

c.$5,000 understated

d.$6,000 overstated

e.$5,000 overstated

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