in 2026, kingbird inc. decided to switch its depreciation method from sum-of-the-years' digits to the straight-line method. the assets were purchased at the beginning of 2025 for $107,000 with an estimated useful life of 4 years and no salvage value. (the 2026 income statement contains depreciation expense of $32,100 on the assets purchased at the beginning of 2025.) in 2026, the company discovered that the ending inventory for 2025 was overstated by $24,200; ending inventory for 2026 is correctly stated. prepare the revised retained earnings statement for 2025 and 2026, assuming comparative statements. (ignore income taxes.)
