Hi I need help for my assignment I’m stuck to the question. Please may you pleas

Question

Hi I need help for my assignment I’m stuck to the question. Please may you please explain me.

Administrative

Net sales $1,373,500 Write-off of inventory due to obsolescence $80,830 Cost of goods sold 781,300 Depreciation expense omitted by accident in 2016 44,300 Selling expenses 74,500 Casualty loss 54,200

Administrative

Pad? @ * 89% | 8:18 AM ? edugen.wileyplus.com Your answer is partially correct. Try again Prepare a separate retained earnings statement for 2017. (List items that increase adjusted retained earnings first.) PEARL CORP Retained Earnings Statement For the Year Ended December 31, 2017 Retained Earnings, January 1, as reported 968430 Correction for Overstatement of Net Income in Prior Period Retained Earnings, January 1, as adjusted Add Net Income/ (Loss) Less Dividends Declared Retained Earnings, December 31 LINK TO TEXT LINK TO TEXT LINK TO TEXT By accessing this Question Assistance, you will learn while you earn points based on the Point Potential Policy set by your instructor Question Attempts: 1 of 4 used SAVE FOR LATER SUBMIT ANSWER

Explanation / Answer

PEARL CORP. Income Statement For the Year Ended Dec 31, 2017 Revenue Net sales          1,373,500 Cost of Goods Sold           (781,300) Gross Margin              592,200 Operating Expenses Selling Expenses         (74,500) Administrative Expenses         (48,300)           (122,800) Net Operating Income              469,400 Other Revenues & Gains Dividend Revenue           23,000 Interest Revenue              7,460                30,460              499,860 Other Expenses & Losses Write-off of inventory due to obsolescence         (80,830) Casualty loss         (54,200)           (135,030) Income Before Income Tax              364,830 Income Tax - 34%              124,042 Net Income              240,788 Per Share of Common Stock Income Before Extraordinary Item ($329,908 / 55,630)                     5.93 Extrordinary Item (Net of Tax) ($89,120 / 55,630)                  (1.60) Net Income ($240,788 / 55,630)                     4.33 PEARL CORP. Retained Earning Statement For the Year Ended Dec 31, 2017 Beginning Balance, Jan 1, 2017         968,430 Correction for overstatement of net income in prior period (depreciation error) - $44,300 - $15,062 (Tax)         (29,238) Retained Earnings, Jan 1, as Adjusted         939,192 Net Income         240,788 Sub-total     1,179,980 Dividend declared         (48,760) Retained Earnings, Dec 31, 2017     1,131,220

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