Presented below are the comparative income and retained earnings statements for Sheridan Inc. for the years 2017 and 2018.

		2018			2017
Sales		$191,000			$172,000
Cost of Sales		75,000			66,000
Gross Profit		116,000			106,000
Expenses		63,000			59,000
Net Income		$53,000			$47,000
Retained Earnings (Jan. 1)		$128,000			$101,000
Net Income		53,000			47,000
Dividends		(26,000	)		(20,000	)
Retained Earnings (Dec. 31)		$155,000			$128,000

1.		In 2018, Sheridan Inc. decided to switch its depreciation method from double-declining balance to the straight-line method. The depreciable assets were purchased at the beginning of 2017 for $51,000 with an estimated useful life of 5 years and no salvage value. The 2018 income statement above contains depreciation expense of $12,240 on these assets.
2.		In 2018, the company discovered that the ending inventory for 2017 was understated by $9,400; ending inventory for 2018 is correctly stated.

Prepare the revised retained earnings statement for 2017 and 2018, assuming comparative statements.

SHERIDAN INC. Retained Earnings Statement For the Year Ended
		2018		2017
select an opening name Correction of Error for Inventory UnderstatementDividendsExpensesNet Income / (Loss)Net Income to Retained EarningsRetained Earnings, January 1, AdjustedRetained Earnings, January 1, UnadjustedRetained Earnings, December 31RevenuesTotal Cost & ExpensesTotal Revenues		$enter a dollar amount
select between addition and deduction AddLess: select an item Correction of Error for Inventory UnderstatementDividendsExpensesNet Income / (Loss)Net Income to Retained EarningsRetained Earnings, January 1, AdjustedRetained Earnings, January 1, UnadjustedRetained Earnings, December 31RevenuesTotal Cost & ExpensesTotal Revenues		enter a dollar amount
select an item Correction of Error for Inventory UnderstatementDividendsExpensesNet Income / (Loss)Net Income to Retained EarningsRetained Earnings, January 1, AdjustedRetained Earnings, January 1, UnadjustedRetained Earnings, December 31RevenuesTotal Cost & ExpensesTotal Revenues		enter a total of the two previous amounts		$enter a dollar amount
select between addition and deduction AddLess: select an item Correction of Error for Inventory UnderstatementDividendsExpensesNet Income / (Loss)Net Income to Retained EarningsRetained Earnings, January 1, AdjustedRetained Earnings, January 1, UnadjustedRetained Earnings, December 31RevenuesTotal Cost & ExpensesTotal Revenues		enter a dollar amount		enter a dollar amount
select between addition and deduction AddLess: select an item Correction of Error for Inventory UnderstatementDividendsExpensesNet Income / (Loss)Net Income to Retained EarningsRetained Earnings, January 1, AdjustedRetained Earnings, January 1, UnadjustedRetained Earnings, December 31RevenuesTotal Cost & ExpensesTotal Revenues		enter a dollar amount		enter a dollar amount
select a closing name Correction of Error for Inventory UnderstatementDividendsExpensesNet Income / (Loss)Net Income to Retained EarningsRetained Earnings, January 1, AdjustedRetained Earnings, January 1, UnadjustedRetained Earnings, December 31RevenuesTotal Cost & ExpensesTotal Revenues		$enter a total amount		$enter a total amount