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On January 1,2025 , Sandhill Corporation changed to the percentage-of-completion method of income recognition. This change is justified by Sandhill Corporation. On December 31, 2024,

image text in transcribed On January 1,2025 , Sandhill Corporation changed to the percentage-of-completion method of income recognition. This change is justified by Sandhill Corporation. On December 31, 2024, Sandhill's Retained Earnings balance was $1710000. Sandhill calculated that, if the percentage-of-completion method had been used, the accumulated impact on net income (before taking into consideration any income tax effects) would have been an additional $410000. If Sandhill's income tax rate is 25%, one of the impacts of this accounting change would be an increase to Construction in Progress of $410000 on December 31, 2024. a decrease to the Retained Earnings balance on December 31, 2024, of $410000. an increase to Construction in Progress of \$1710000 on December 31, 2024. an increase to the Retained Earnings balance on December 31, 2024, of $410000

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