eBook Show Me HowPrint Item Question Content Area Retained Earnings Statement Rolt Company began 2016 with a $110,000 balance in retained earnings. During the year, the following events occurred: The company earned net income of $89,000. A material error in net income from a previous period was corrected. This error correction increased retained earnings by $8,190 after related income taxes of $3,510. Cash dividends totaling $14,500 and stock dividends totaling $16,500 were declared. One thousand shares of callable preferred stock that originally had been issued at $115 per share were recalled and retired at the beginning of 2016 for the call price of $125 per share. Treasury stock (common) was acquired at a cost of $18,000. State law