1: For the year ending December 31,2018,Fritz Inc. reports net income $160,000 and dividends $85,000.Prepare the retained earning statement for the year assuming the balance in retained earnings on January 1,2018,was $240,000.(8 marks for retained earning statement;pr;2 marks for presentation=10 marks) Question 2: In recent years, Waterfront Transportation purchased one used bus. The accountant selected the straight line method to compute the depreciation. Information concerning the bus is summarized as follow. Bus Acquired cost salvage Value Useful Life in Years Depreciation Method 1 1/1/12 $86,000 $6,000 4 Straight-line (a) Compute the amount of accumulated depreciation at December 31, 2014 .(formula:2 marks; computation :2 marks; final answer:1mark=5 marks) (b) If the bus was purchased on April 1 instead of January 1,what is the depreciation expense for the bus in (1) 2012 and (2) 2013.( formula:2 marks; computation :2 marks; final answer:1mark=5 marks)X 2=10 marks