Use the following information to answer Questions 24 and 25. A company's December 31 financial statements for 20X0 and 20x1 contained the following errors. COMPANY INFORMATION REGARDING ERRORS IN FINANCIAL STATEMENTS FOR YEARS ENDING DECEMBER 31, 20X0 AND 20X1 Dec. 31, 20x0 $ 5,000 understated $ 2,500 overstated Dec. 31, 20X1 3,600 overstated Ending Inventory 24. What is the total net effect of these errors on the company's 20X0 net income, ignoring income tax considerations? (a) Understated by $5,000. (b) Understated by $7,500. (c) Understated by $2,500. (d) Overstated by $2,500. 25. What is the total net effect of these errors on the company's 20XI retained earnings, ignoring income tax considerations? (a) Understated by $11,100. (b) Overstated by $3,600. (c) Overstated by $1,100. (d) Understated by $3,900