Crane Corporation, a private company, began operations on January 1, 2020. During its first three years of operations, Crane reported net income and declared dividends as follows:
Net income Dividends declared
2020
$52,000
$0
2021
138,000
50,000
2022
168,000
50,000
The following information is for 2023:
Income before income tax
$310,000
Correction of prior period error: understatement of 2021 depreciation expense (before tax) Cumulative increase in prior years' income from change in inventory method (before tax)
37,000
47,000
Dividends declared (of this amount, $25,000 will be paid on January 15, 2024)
100,000
Effective tax rate
40%
Prepare a 2023 statement of retained earnings for Crane. The company follows ASPE. (List items that increase retained earnings first after adjusted balance. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)