Eliza Company Discovered the Following Errors in 2016: · Ending

Multiple Choice

Eliza Company discovered the following errors in 2016: · Ending inventory at December 31, 2015, was understated by $2,000.
· Accrued expenses of $3,000 were not recorded at December 31, 2015.
Eliza reported net income of $45,000 for the year 2015. What is the amount of the corrected net income ignoring income taxes) for 2015?

A) $45,000
B) $40,000
C) $46,000
D) $44,000