Exercise $11-16($Algo$)$ Determining retained earnings balance LO C$3$

Tuscan Incorporated had a retained earnings balance of $$74,000$ at December $31$ of the prior year. In the current year, Tuscan reported the following results.

Reported net income of $$114,000$

Cash dividends of $$47,000$ declared and pald.

Tuscan discovered this year that it made a math error three years ago; to correct for this, $$26,000($net of tax$)$ must be added to the current year's beginning retained earnings balance.

Revised an estimate of a machine's salvage value. Depreclation Increased by $$2,400$ per year.

Calculate the retalned earnings balance at December $31$ of the current year.

Note: Amounts to be deducted should be Indicated with a minus sign.