Coffee Chain Inc., a private company, adopts ASPE. The effective tax rate for the company is 30%. For the year 2018, Coffee Chain Ltd. had a beginning balance of Retained Earnings, $141,000 and declared dividends, $12,200. The balances of all revenue and expense accounts at December 31, 2018 are reported as follow: Sales Cost of goods sold Selling expenses General and administrative expenses $640,000 500,000 25,500 30,000 The above balances have not considered the following additional facts: 1. The selling expenses and the general and administrative expenses for 2018 did not include an uninsured loss of fire damage, $10,500. 2. The management had determined to sell a division from the future operations of the business. The division meets the criteria for accounting treatment as discontinued operations. As of December 31, 2018, the division had not been sold yet. It generated a before-tax income of $9,000 for the year of 2018. It has one asset, a piece of equipment with a carrying value of $3,200, which is included on the company's balance sheet under property, plant, and equipment. The equipment has the fair value (less the disposal fees), $2,900. 3. At the beginning of 2017, Coffee Chain Ltd. purchased a printer for $4,000 (residual value of $200) that has a useful life of five years. The printer is used in the selling department, and its depreciation is reported as "Selling expenses". The bookkeeper used straight-line depreciation for 2017 and 2018, but failed to deduct the residual value in calculating the depreciable amount.