The current assets and current liabilities sections of the balance sheet of Sarasota Company appear as follows. SARASOTA COMPANY BALANCE SHEET (PARTIAL) DECEMBER 31, 2020 Cash $ 49,700 Accounts payable $ 64,150 Accounts receivable $92,600 Notes payable 63.370 Less: Allowance for doubtful accounts 8,830 83,770 $127,520 Inventory 163,330 Prepaid expenses 8,580 $305,380 The following errors in the corporation's accounting have been discovered: 1. January 2021 cash disbursements entered as of December 2020 included payments of accounts payable in the amount of $41,400, on which a cash discount of 2% was taken. 2. The inventory included $28,020 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $11,210 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30. 3. Sales for the first four days in January 2021 in the amount of $28,760 were entered in the sales journal as of December 31, 2020. Of these, $19,360 were sales on account and the remainder were cash sales. 4. Cash, not including cash sales, collected in January 2021 and entered as of December 31, 2020, totaled $36,108. Of this amount, $24,108 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan. State the net effect of your adjustments on Sarasota Company's retained earnings balance. to retained earnings $