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Powell Company had the following errors over the last two years: 2014: Ending inventory was overstated by $39,000 while depreciation expense was overstated by $24,300

Powell Company had the following errors over the last two years: 2014: Ending inventory was overstated by $39,000 while depreciation expense was overstated by $24,300 2015: Ending inventory was understated by $11,500 while depreciation expense was understated by $6,000. By how much should retained earnings be adjusted on January 1, 2016? (Ignore taxes)

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