Zagat Inc. is a calendar-year corporation. Its financial statements for the years 2017 and 2016 contained errors as follows: 2017 2016 Ending Inventory $9.000 overstated $18,000 overstated Depreciation Expense $6,000 understated $13,500 overstated Assume that the proper correcting entries were made at December 31, 2016. By how much will 2017 income before taxes be overstated or understated? $7.500 overstated $15,000 overstated $3,000 understated $10,500 overstated Sandhill Company had a gross profit of $600000, total purchases of $816000, and an ending inventory of $464000 in its first year of operations as a retailer. Sandhill's sales in its first year must have been $1416000 $1064000 $352000. $952000