Exercise 22-9 /Your answer is partially correct. Try again Presented below are the comparative income and retained earnings statements for Bramble Inc. for the years 2017 and 2018 2018 2017 Sales Cost of sales Gross profit Expenses Net income Retained earnings (Jan. 1) Net income Dividends Retained earnings (Dec. 31) $358,000 213,000 145,000 81,800 $63,200 $132,400 63,200 (29,400) $166,200 $289,000 147,000 142,000 49,400 $92,600 $66,400 92,600 (26,600 ) $132,400 The following additional information is provided 1. In 2018, Bramble Inc. decided to switch its depreciation method from sum-of-the-years' digits to the straight-line method. The assets were purchased at the beginning of 2017 for $107,000 with an estimated useful life of 4 years and no salvage value. (The 2018 income statement contains depreciation expense of $32,100 on the assets purchased at the beginning of 2017.) In 2018, the company discovered that the ending inventory for 2017 was overstated by $21,800; ending inventory for 2018 is correctly stated 2. Prepare the revised retained earnings statement for 2017 and 2018, assuming comparative statements. (Ignore income taxes.) Prepare the revised retained earnings statement tor 2017 and 2018, assuming comparative statements. (Ignore income taxes.) BRAMBLE INC. Retained Earnings Statement For the Year Ended 2018 2017 Retained Earnings, January 1, unadjusted Less .Correction of Error for Inventory Overstatement Retained Earnings, January 1, adjusted Add Net Income Less Dividends Retained Earnings, December 31