ABC Inc. began operations on January 1, Y1. During its first 3 years of operations, ABC reported net income and declared dividends as follows:

Date	Net Income	Dividends
Y1	$145,000	$0
Y2	$66,000	$13,000
Y3	$134,000	$0
Y4	$148,000	$48,000

The following information relates to Y5:

• Net income was originally calculated as $165,000 and $38,000 in dividends were declared during the period.
• Assume ABC is charged a tax rate of 40%.
• ABC decided to change its depreciation method from double-declining balance method to straight-line for some of its assets. This resulted in a pre-tax decrease in annual depreciation expense of $8,000. This impact was not included in the Y5 net income listed earlier because ABC made this change after they generated the Y5 net income amount.
• Additionally, ABC discovered in Y5 that they understated a gain on the sale of equipment in Y3 by $22,000 and understated Y4 depreciation expense by $35,000.
• At the end of Y5, after the net income above was determined ABC decided to change from LIFO to FIFO. The following COGS information was determined under each method. The net income number given above was calculated for Y5 using LIFO.

Date	FIFO COGS	LIFO COGS
Y1	$140,000	$125,000
Y2	$120,000	$140,000
Y3	$135,000	$115,000
Y4	$155,000	$110,000
Y5	$150,000	$125,000

ABC reported two years on the face of the income statement during Y5.

Using the information given, complete the Y4 and Y5 Statements of Retained Earnings as reported in the Y5 Annual Report below. Use a parenthesis to indicate a negative balance (or subtraction).

Y5 Annual Report
Retained Earnings Statements Y4 and Y5
Beginning Retained Earnings, 1/1/Y4	$
Cumulative Effect due to a Change in Accounting Principle	$
Prior Period Adjustment	$
Y4 Net Income	$
Dividends	$
Ending Retained Earnings, 12/31/Y4	$
Beginning Retained Earnings, 1/1/Y5	*
Cumulative Effect due to a Change in Accounting Principle	$
Prior Period Adjustment	$
Y5 Net Income	$
Dividends	$
Ending Retained Earnings, 12/31/Y5	**