Refer to Practice 20-21. Assume that the error was found in May 2008. Net income for 2008

Question:

Refer to Practice 20-21. Assume that the error was found in May 2008. Net income for 2008 (correctly stated) was $25,000. Dividends for 2008 were $10,000. The Retained Earnings balance as originally reported at the end of 2007 was $100,000. Prepare a statement of retained earnings for 2008.