Question: E22-17B (LO3) (Error Analysis and Correcting Entry) The reported net incomes for the first 2 years of US Books Corp. were as follows: 2017, $268,000;

E22-17B (LO3) (Error Analysis and Correcting Entry) The reported net incomes for the first 2 years of US Books Corp. were as follows: 2017, $268,000; and 2018, $412,000. Early in 2019, the following errors were discovered. 1.. Depreciation of equipment for 2017 was understated $68,500. 2. Depreciation of equipment for 2018 was overstated $39,000 3. December 31, 2017, inventory was overstated $12,000. 4. December 31, 2018, inventory was understated $73,600 Instructions Prepare the correcting entry necessary when these errors are discovered. Assume that the books are closed. (Ignore income tax considerations.)

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