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Crane Enterprises reported cost of goods sold for 2025 of $1,290,700 and retained earnings of $4,708,100 at December 31, 2025.
Crane later discovered that its ending inventories at December 31, 2024 and 2025, were overstated by $116,750 and $32,910,
respectively.
Determine the corrected amounts for 2025 cost of goods sold and December 31, 2025, retained earnings.
Corrected cost of goods sold
$ 1,206,860
Corrected 12/31/25 retained earnings
$