During the Audit of Montane Company's 2019 Financial Statements,the Auditors

Multiple Choice

During the audit of Montane Company's 2019 financial statements,the auditors discovered that the 2019 ending inventory had been overstated by $8,000 and that the 2019 beginning inventory was overstated by $5,000.Before the effect of these errors,2019 pretax income had been computed as $100,000.What should be reported as the correct 2019 pretax income before taxes?

A) $113,000.
B) $87,000.
C) $105,000.
D) $97,000.