On March $5,2026,$ you were hired by Novak Inc., a closely held company, as a staff member of its newly created internal auditing department. While reviewing the company's records for $2024$ and $2025,$ you discover that no adjustments have yet been made for the following items. Items $1.$ Interest income of $\backslash (\backslash$$ $14,800\backslash )$ was not accrued at the end of $2024.$ It was recorded when received in February $2025.2.$ A computer costing $\backslash (\backslash$$ $3,920\backslash )$ was expensed when purchased on July $1,2024.$ It is expected to have a $4-$year life with no salvage value. The company typically uses straight$-$line depreciation for all fixed assets. $3.$ Research and development costs of $\backslash (\backslash$$ $35,100\backslash )$ were incurred early in $2024.$ They were capitalized and were to be amortized over a $3-$year period. Amortization of $\backslash$$$11,700$ was recorded for $2024$ and $\backslash (\backslash$$ $11,700\backslash )$ for $2025.4.$ On January $2,2024,$ Novak leased a building for $5$ years at a monthly rental of $\backslash (\backslash$$ $7,600\backslash ).$ On that date, the company paid the following amounts, which were expensed when paid. $5.$ The company received $\backslash (\backslash$$ $39,600\backslash )$ from a customer at the beginning of $2024$ for services that it is to perform evenly over a $3$year period beginning in $2024.$ None of the amount received was reported as unearned revenue at the end of $2024.6.$ Merchandise inventory costing $\backslash (\backslash$$ $16,800\backslash )$ was in the warehouse at December $31,2024,$ but was incorrectly omitted from the physical count at that date. The company uses the periodic inventory method. Indicate the effect of any errors on the net income figure reported on the income statement for the year ending December $31,2024,$ and the retained earnings figure reported on the balance sheet at December $31,2025.$ Assume all amounts are material, and ignore income tax effects. Using the following format, enter the appropriate dollar amounts in the appropriate columns. Consider each item independent of the other items. It is not necessary to total the columns on the grid.