b) Assume Crane Corporation restricted retained earnings in the amount of $ on December 31,...
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b) Assume Crane Corporation restricted retained earnings in the amount of $ on December 31, 2020. After this action, what would Crane report as total retained earnings in its December 31, 2020, balance sheet? Total retained earnings $
Crane Corporation began operations on January 1, 2022. During its first 3 years of operations, Crane reported net income and declared dividends as follows: The following information relates to 2025. Income before income tax $993,000 Prior period adjustment: understatement of 2023 depreciation expense (before taxes) $115,000 Cumulative decrease in income from change in inventory methods (before taxes) $172,000 Dividends declared (of this amount, $115,000 will be paid on Jan. 15, 2026) $452,000 Effective tax rate 20% Prepare a 2025 retained earnings statement for Crane Corporation. (List items that increase adjusted retained earnings first.)
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