Blue Spruce Inc. follows IFRS and is adjusting and correcting its books at the end of 2020. In reviewing its records, the following information has been compiled: 1. 2. 3. 4. In 2020, the depreciation method on plant assets should be changed from sum-of-the-years'-digits to the straight-line method due to a change in pattern of usage. The assets were purchased at the beginning of 2019 for $68,400 with an estimated useful life of four years and no residual value. Blue Spruce has already recorded 2020 depreciation expense of $20,520 related to the assets, using the sum-of-the-years'-digits method. Ending inventory for 2019 was overstated by $15,200; ending inventory for 2020 is correctly stated. The adjusted trial balance at December 31, 2018, includes the following amounts: Cash $28,880; Inventory $85,120; Accounts Payable $36,480; Retained Earnings $54,720. Dividends of $22,800 and $19,000 were declared and paid on December 31, 2020, and December 31, 2019, respectively. 5. Share capital of $22,800 consists of 15,200 common shares outstanding since the company's inception.