The comparative statements of Nextext. Ltd., an outdoor advertising company, showed the following information 20X7 2005 Retained earnings 1 January 20X? $4,513,000 $4,356,000 Earnings 699.000 468,500 Dividends (300, 500) (281,000) Retained earnings, 31 December 20X7 $1,851,500 $4,543,500 In 20x8, it came to the attention of Nextest's newly hired financial vice-president that management had re-estimated the cost of removing roof-mounted billboards and restoring the roofs at the end of 20x7 but had made no adjustment in that year. The cost estimates at the end of 20X7 had increased by close to 15%, from $426,500 to $490.475. The average remaining period of time before the roof leases expire (and the decommissioning costs are incurred) was eight years from the end of 20x7. Decommissioning costs (ie, asset retirement obligations) are discounted at a rate of 6% (PV of $1. PVA of S1, and PVAD of S1) (Use appropriate factor(s) from the tables provided. Round time value foctor to 5 decimal places.) Required: 1. Not available in connect. 2. Assume for the purposes of this requirement that 20x7 results should be restated. Prepare the journal entry for entries) necessary to effect the restatement Nextext's income tax rate is 40% (Round final answers to nearest dollar amount.) 2. Assume for the purposes of this requirement that 20x7 results should be restated. Prepare the journal entry for entries) necessary to effect the restatement. Nextext's income tax rate is 40% (Round final answers to nearest dollar amount.) View transaction ist 1 Record the adjusting entry for adjustment changes the asset and liability at that time. bility at Credit