The Flounder Corporation, a private company, began operations on January 1, 2017. During its first three years of operations, Flounder reported net income and declared dividends as follows:

		Net income			Dividends declared
2017		$54,000			$0
2018		132,000			50,000
2019		153,000			50,000

The following information is for 2020:

Income before income tax		$310,000
Correction of prior period error: understatement of 2018 depreciation expense (before tax)		39,000
Cumulative increase in prior years income from change in inventory method (before tax)		49,000
Dividends declared (of this amount, $25,000 will be paid on January 15, 2021)		100,000
Effective tax rate		40%

Prepare a 2020 statement of retained earnings for Flounder Corporation. The company follows ASPE. (List items that increase retained earnings first.)

Flounder Corporation Statement of Retained Earnings choose the accounting period December 31, 2020For the Year Ended December 31, 2020For the Month Ended December 31, 2020
select an opening name Balance, January 1, as reportedNet Income / (Loss)Balance, January 1, as adjustedDividends DeclaredCorrection for Depreciation error Net of Income TaxBalance, December 31Retroactive adjustment for change in Inventory method Net of Income Tax		$enter a dollar amount
select an item Net Income / (Loss)Balance, December 31Balance, January 1, as reportedCorrection for Depreciation error Net of Income TaxDividends DeclaredRetroactive adjustment for change in Inventory method Net of Income TaxBalance, January 1, as adjusted		enter a dollar amount
select an item Balance, December 31Dividends DeclaredBalance, January 1, as adjustedRetroactive adjustment for change in Inventory method Net of Income TaxNet Income / (Loss)Balance, January 1, as reportedCorrection for Depreciation error Net of Income Tax		enter a dollar amount
select a summarizing line for the first part Correction for Depreciation error Net of Income TaxNet Income / (Loss)Balance, January 1, as reportedRetroactive adjustment for change in Inventory method Net of Income TaxDividends DeclaredBalance, December 31Balance, January 1, as adjusted		enter a total amount for the first part
select between addition and deduction AddLess:select an item Balance, January 1, as adjustedCorrection for Depreciation error Net of Income TaxBalance, December 31Retroactive adjustment for change in Inventory method Net of Income TaxDividends DeclaredBalance, January 1, as reportedNet Income / (Loss)		enter a dollar amount
		enter a subtotal of the two previous amounts
select between addition and deduction AddLess:select an item Balance, January 1, as adjustedNet Income / (Loss)Dividends DeclaredRetroactive adjustment for change in Inventory method Net of Income TaxCorrection for Depreciation error Net of Income TaxBalance, December 31Balance, January 1, as reported		enter a dollar amount
select a closing name Balance, December 31Retroactive adjustment for change in Inventory method Net of Income TaxDividends DeclaredBalance, January 1, as adjustedBalance, January 1, as reportedCorrection for Depreciation error Net of Income TaxNet Income / (Loss)		$enter a total amount

Flounder Corporation Statement of Retained Earnings $ HA $