All French Press (AFP) is a major French telecommunication conglomerate. Assume that early in year 1, AFP purchased equipment at a cost of 8 million euros (€8 million). Management expects the equipment to remain in service for four years and estimated residual value to be negligible. AFP uses the straight-line depreciation method. Through an accounting error, AFP expensed the entire cost of the equipment at the time of purchase. Because AFP is operated as a partnership, it pays no income tax.

Requirements
Prepare a schedule to show the overstatement or understatement in the following items at the end of each year over the four-year life of the equipment:
1. Total current assets
2. Equipment, net
3. Net income