Income Statement You have been given the following information for Corky's Bedding Corp.:

a. Net sales = $11,250,000.

b. Cost of goods sold = $7,500,000.

c. Other operating expenses = $250,000.

d. Addition to retained earnings = $1,000,000.

e. Dividends paid to preferred and common stockholders = $495,000.

f. Interest expense = $850,000. The firm's tax rate is 35 percent. Calculate the depreciation expense for Corky's Bedding Corp. (LG1)