Calculate retained earnings balance. (LO 5)

On January 1, 2007, Harrison Corporation started the year with a \(\$ 422,000\) balance in retained earnings. During 2007, the company earned net income of \(\$ 130,000\) and declared and paid dividends of \(\$ 20,000\). Also, the company received cash of \(\$ 450,000\) from a new issue of common stock. What is the balance in retained earnings on December 31,2007 ?