P7.5 Analyzing and Interpreting the Effects of Inventory Errors L07-5 The statements of earnings for Pruitt Company summarized for a four year period show the following (amounts in thousands of dollars fales revenue cost of sales Gebe proti PSE operating expen The tax expense (401) e ting 2021 32.25 1.905 920 570 2020 2010 2018 $3,250 $3.500 3.775 2,0222122512 12 13 1722 593 622 630 700 160 252 280 256 5378 33 140 220 430 An audit revealed that in determining these amounts, the ending inventory for 2019 was understated by $38 Required: 1. Revise these statements of earnings to reflect the correct amounts (Do not round Intermediate calculations. Round the final answers to the nearest dollar amount) Sales revenue Cost of PRUITT COMPANY CarredStatement of Earnings 3021 2020 2.8255 3.250 s 10 2.065 20 1.18 570 303 350 52 TO tre 2103 414 $ Open senses Preaming income Natamine 2013 2.500077 2.144 1318 10 700 200 40 2. Did the error affect the cumulative net earnings for the four year period? Not affected Allected 3. What effect did the error have on the income tax expense for 2015 and 20207 Do not round intermediate calculations. Round the fiat answers to the nearest dollar amount) Income taxe 2010 12010