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A company uses the aging method to estimate bad debt expense. Its tax rate is 35%. After issuing its 2003 financial statements, the firm discovered that it failed to write off $30,000 in receivables that were determined to be uncollectible in 2003. As a result of this error, net income was: a) Overstated by $19,500. b) Overstated by an undetermined amount. c) Understated by an undetermined amount. d) Unaffected.

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