Exercise 13-14 Determining retained earnings balance LO C3 Tuscan Inc. had a retained earnings balance of $82,000 at December 31, 2018. During the year, Tuscan had the following selected transactions. Reported net income of $122,000. Revised an estimate of a machine's salvage value. Depreciation Increased by $3,200 per year. An error was discovered. Three years ago, a purchase of a building was incorrectly expensed. The effect is understated retained earnings of $34,000 (net of tax benefit). Paid cash dividends of $55,000. Calculate the retained earnings balance at December 31, 2019. (Amounts to be deducted should be indicated with a minus sign.) TUSCAN INC. Statement of Retained Earnings For Year Ended December 31, 2019 Prior period adjustment