Retained earnings

Below is the Retained Earnings account for the year 2014 for Acadian Corp.

Retained earnings, January 1, 2014 $261,530
Gain on sale of investments (net of tax) $45,130
Net income 88,430
Refund on litigation with government, related to the year 2011
(net of tax) 25,530
Recognition of income earned in 2013, but omitted from income
statement in that year (net of tax) 29,330 188,420
Loss on discontinued operations (net of tax) 38,930
Write-off of goodwill (net of tax) 63,930
Cumulative effect on income of prior years in changing from
LIFO to FIFO inventory valuation in 2014 (net of tax) 27,130
Cash dividends declared 35,930 165,920
Retained earnings, December 31, 2014 $284,030
Prepare a corrected retained earnings statement. Acadian Corp. normally sells investments of the type mentioned above. FIFO inventory was used in 2014 to compute net income. (List items that increase retained earnings first.)

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