Current Attempt in Progress During year 4, Olsen Company discovered that the ending inventories reported on its financial statements were understated as follows: Year Year 1 Year 2 Year 3 Understatement $50,000 $60,000 $0 Olsen ascertains year-end quantities on a periodic inventory system. These quantities are converted to dollar amounts using the FIFO cost flow method. Assuming no other accounting errors, Olsen's retained earnings at December 31, Year 3, will be Under the dollar-value LIFO inventory method, Kern's inventory at December 31, year 2, would be O $60,000 overstated. O Correct. O $110,000 understated. O $60,000 understated. On D pool, are a 12/3 Rele Unde 15