GMAT Critical Reasoning (CR) | Re: A multinational electricity conglomerate, in its 2004 annual

Guys, I agree, with C, but isn't the sentence grammaticallyincorrect?

The accounting department applied a new accounting regulation that includes as revenue transactions that previously would have not have been recorded until the following year.

I believe it should be:

The accounting department applied a new accounting regulation that includes as revenue transactions thatwhich previously would have not have been recorded until the following year.

OR

The accounting department applied a new
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