For each independent situation given below,determine the effect on pretax income for each.Enter "O" to indicate pretax income is overstated,"U" to indicate pretax income is understated,or "NA" to indicate that pretax income is not affected.

Pretax Income

Pretax Income is the total income a company earns before any taxes are deducted, highlighting its profitability from operations and non-operating activities.

Independent Situation

A scenario or condition that is not influenced by other variables, often used in determining the effect of specific factors in an analysis.