Question: 48. In 2021, Alpha Jax Inc. discovered errors in previously reported financial statements that understatec ending inventory on December 31,2020 , by $5,000 and on

48. In 2021, Alpha Jax Inc. discovered errors in previously reported financial statements that understatec ending inventory on December 31,2020 , by $5,000 and on December 31,2019 , by $11,000. Ignoring income taxes and assuming an operating cycle of less than one year, what is included in the correcting journal entry on January 1,2021 ? A) A debit to inventory for $11,000. B) A debit to inventory for $6,000. C) A debit to Retained Earnings for $6,000 D) Credit to Retained Earnings for $5,000

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