The records of the company have not been examined for the three year period ended December 31, 2020. As a result of your audit of the records for the year ended December 31, 2020 and your review of the records for the two prior years, it is necessary to revise the net income and the retained earnings based upon the audited data which follow: The company's retained earnings at December 31, 2020 follows: Balance, December 31, 2018 Net Income, 2019 Net Income, 2020 Balance, December 31, 2020 90,000 100,000 110,000 300,000 No dividends were declared or paid during the three year period. The client is on the direct charged off method of recording bad debts and no bad debts were written off. From your examination, you obtained the following information which must be taken into consideration at the close of the year involved: December 31, 2018 1. Goods consigned out to consignees are included in the inventory at php 120,000, which is 20 percent in excess of cost. 2. Equipment with a 10-year life was purchased for Php 30,000 and charged to expense on December 31. 3. The following liabilities are omitted from the records: Materials included in inventory Php 3,000 Accrued taxes 4,100 December 31, 2019 4. Uncollectible accounts receivable of Php 9,000 are to be written off. 5. Marketable Securities costing Php 15,000 were at a market value of only Php 9,000 6. Gain of Php 3,000 on sale of fully depreciated equipment was credited to the allowance for depreciation. 7. Land cost of Php 9,000 had been erroneously charged to expense. 8. The inventory is overstated by Php 14,300 because of an error in footing an inventory price sheet. 9. Depreciation was omitted; Php 5,000 should be provided. December 31, 2020 10. The following liabilities are omitted from the records: For purchases of new machinery On December 31, 2020 Php 12,000 Accrued taxes 5.900 2/3 Required: Compute for the following balances 4. Retained Earnings 2018 5. Net Income 2019 6. Net Income 2020 7. Retained Earnings 2020