Cerritos Corporation began operations on January 1,2006.During its frst three years oF operations,Cerritos reported net income and declared dividends asFollows:Net incomeDividends declared2006P80,000P02007250,000100,0002008300,000100,000The Following inFormation related to 2009:Income beFore income taxP480,000Prior period adjustment:understatement oF 2007 depreciationexpense (beFore taxes)40,000Cumulative decrease in income Fromchange in inventory methods (beForetaxes)70,000Dividends declared (oF this amount,P50,000 will be paid on January 15,2010)200,000Eective tax rate35%As at December 31, 2009, the retained earnings oFCerritos Corporatio