Given the following Ending Inventory errors: Indicate the error in the following items

Given the following Ending Inventory errors: Year 2018 2019 Overstated $30 Understated $40 Indicate the error in the following items: Select one: a. b. c. d. 2020 Net Income No Error 2020 Net Income No Error 2020 Net Income Understated $40 2020 Net Income Overstated $40 2020 Net Income Understated $40 12/3.1/1CRgtained-Earmngs Understated $10 12/31/19 Retained Earnings overstated $10 12/31/19 Retained Earnings Understated $40 12/31/-19-Retajned-Ear-njngs Understated $40 32/3_1/19 Retained Earnings Overstated $40