Question: for Year 1 and Year 2 by reducing the reported ending inventory in both Year 1 and Year 2 by $60,000 . Which of the

for Year 1 and Year 2 by reducing the reported ending inventory in both Year 1 and Year 2 by

$60,000

. Which of the following statements is correct for Year 2?\ Multiple Choice\ The amounts reported for both inventory and retained eamings in Year 2 should instead be increased by

$60,000

.\ No adjustments to the amounts reported for inventory or retained earnings are needed in Year 2.\ Only the amount reported for retained earnings in Year 2 needs to be decreased by

$60,000

.\ The amount reported for inventory in Year 2 needs to be increased by

$60,000

, and the amount reported for retained earnings in Year 2 needs to be decreased by

$60,000

for Year 1 and Year 2 by reducing the reported ending inventory in both Year 1 and Year 2 by $60,000. Which of the following statements is correct for Year 2? Multiple Choice The amounts reported for both inventory and retained eamings in Year 2 should instead be increased by $60,000. No adjustments to the amounts reported for inventory or retained earnings are needed in Year 2. Only the amount reported for retained earnings in Year 2 needs to be decreased by $60,000. The amount reported for inventory in Year 2 needs to be increased by $60,000, and the amount reported for retained earnings in Year 2 needs to be decreased by $60,000

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