Jayleah Company reported retained earnings at December 31, 2011, of $313,580. Jayleah had 208,200 shares of common stock outstanding throughout 2012. The following transactions occurred during 2012.

Jayleah Company reported retained earnings at December 31, 2011, of $313,580. Jayleah had 208,200 shares of common stock outstanding throughout 2012. The following transactions occurred during 2012.

1.		An error was discovered: in 2010, depreciation expense was recorded at $72,550, but the correct amount was $49,960.
2.		A cash dividend of $0.49 per share was declared and paid.
3.		A 10% stock dividend was declared and distributed when the market price per share was $17 per share.
4.		Net income was $286,100.

Prepare a retained earnings statement for 2012. (List items that increase retained earnings first.)
 
Working

Cash dividends	=	(208,200 x $0.49/sh)	=	$102,018
Stock dividends	=	(208,200 x 0.10 x $17/sh)	=	$353,940