Last year a firm had sales of $300,000, costs of $250,000, and paid out $8,000 in dividends. On the pro forma income statement, sales and costs are projected to be $350,000 and $270,000 respectively. With a constant dividend payout policy, what should additions to retained earnings be on the pro forma income statement?
$45,360
$12,800
$49,000
$67,200
$72,000