Audit of SHE/corrections of error

PROBLEM 1 [ZAPDRRD COMPANY]: In your audit of Zaporro Company for the calendar year ended December 31, 2022, you discovered the breakdown of the company's Retained Earnings account: Balance, l'anuary 1 PTA-00.0 00 Unrealized holding loss on nancial assets held at fair value through other comprehensive income 3 0 0,0 00 Impairment loss on machinery [650,000] 25% stock dividends {declared on 100,000 shares outstanding at market value of P112 per share] (2.800.000) Loss on sale ofequiprnent {200.000} Prior period error correction [1,000,000] Loss on retirement of ordinary shares as treasury [1,050,000] Gain on sale ofordirtary shares at excess over par 950,000 Gain on pro-mature retirement of bonds payable 400.000 Unrealized holding gain on nancial assets held at fair value through prot or loss 300,000 Proceeds from sale of donated shares {originally issued at P500,000] 800,000 Net income for the year 9,100,000 Appropriation for treasury shares {at cost] {450,000} Audit notes: 1. The 25% stock dividends on ordinary shares with par value of P100 were declared on November 1, 2022 distributed to stockholders on January 15, 2023 of record on December 1, 2022. Zaporro's stocks were selling at P105 on Nutrelnber 1, P110 on December 1, and P112 on December 31. 2. The company's Share Premium from Treasury Stock Transaction amounted to P750000. 3. The company's management decided to change its inventory costing method from the weighted average WAVE) to the rst-in, rst-out (FIFO) method during the current year. The inventory balances under two methods are as follows: Ending inventory, 2021 Ending inventory, 2022 WAVE 2 .50 0,0 00 1,900,000 FIFO 2 .60 0,0 00 2,200,000 The company has yet to reect the said changes in its current year nancial statements What is the net adjustment to the Retained earnings account for the declaration of the stock dividends? What is the correct net income for the year 202 2? What is the restated beginning Retained earnings in 2022? What is the correct retained at the end of 2022? Based on the information above, what is the net adjustment to Additional-paid-in capital? E-"F'P'F'Jl