Using the information in Question $5,$ determine the prior period adjustment to Retained Earnings that Matador will record in a journal entry for $2022.$ Matador has a corporate tax rate of $30\%.$

$$74,316$

On May $1,2019,$ Matador received $$337,800$ for the sale of merchandise to a customer. The contract specified that Matador would deliver their product in equal monthly quantities over $60$ months. When Matador recorded the sale the bookkeeper credited a nominal account. No adjusting or correcting entries were made and the bookkeeper realized the error after $2022$ ICO was calculated. Determine the adjustment to ICO. Matador has a corporate tax rate of $30\%.$

$\frac{337,800}{60},=5,630,247,720**30\%=74,316$

$5,630**44,=247,720$

Using the information in Question $5,$ determine the prior period adjustment to Retained Earnings that Matador will record in a journal entry for $2022.$ Matador has a corporate tax rate of $30\%.$