Amana Cement Corporation is a private corporation controlled by Amin Amana. The company$$s adjusted trial balance and other related data at $31$ December $20$X$5$ are given below. Although the company uses some obsolete terminology, the amounts are correct.

AMANA CEMENT CORPORATION

Adjusted Trial Balance

$31$ December $20$X$5$

Debit Balance Accounts

Cash $ $30,400$

Land $($used for building site$)101,600$

Cost of goods sold $118,100$

Short$-$term securities$,$ at market $($cost$,$ $$32,000)33,000$

Investment in U$.$S$.$ subsidiary $78,600$

Goodwill $94,400$

Merchandise inventory $22,800$

Office supplies inventory $1,600$

Patent $5,600$

Operating expenses $44,000$

Income tax expense $14,000$

Impairment of patent $6,100$

Prepaid insurance $970$

Building $($at cost$)161,700$

Land $($held for speculation$)80,900$

Translation loss on U$.$S$.$ subsidiary, $31$ December $20$X$412,900$

Accrued interest receivable $350$

Accounts receivable $($trade$)26,400$

Note receivable, $10\%($long$-$term investment$)34,800$

Subscriber lists $($net$)25,500$

Prepayments to pension fund in advance of expensing $($long$-$term$)30,200$

Dividends declared in $20$X$5,$ payable in $20$X$617,500$

Correction of error from prior year$$no income tax effect $17,500$

$ $958,920$

Credit Balance Accounts

Reserve for bad debts $ $1,000$

Accounts payable $($trade$)13,700$

Revenues $251,200$

$20$X$5$ translation gain on U$.$S$.$ subsidiary $17,900$

Deferred income tax $56,700$

Note payable $($short term$)14,400$

Common shares, no par, $10,000$ shares outstanding $204,000$

Reserve for depreciation, building $107,900$

Retained earnings, $1$ January $20$X$586,020$

Gain on new accounting policy $33,700$

Accrued wages $1,800$

Cash advance from customer $2,600$

Accrued property taxes $700$

Note payable $($long term$)14,000$

Rent revenue collected in advance $1,300$

Bonds payable, $11\%($$$24,000$ due $1$ June $20$X$6)152,000$

$ $958,920$

Additional information $($no accounting errors are involved$)$:

Merchandise inventory is based on FIFO, lower of cost or net realizable value.

The patent is subjected to an annual impairment test. The impairment for $20$X$5$ has already been recorded.

Operating expenses as given include depreciation and interest expense, and revenues include interest and investment revenues.

The $$cash advance from customer$$ was for a special order that will not be completed and shipped until March $20$X$6$; the sales price has not been definitely established because it is to be based on cost $($no revenue should be recognized for $20$X$5).$

Required:

$1-$a$.$ Prepare the income statement.

$1-$b$.$ Compute EPS. $($Round the answer to two decimal places.$)$

$1-$c$.$ Prepare the statement of retained earnings. $($Negative and deductible amounts should be indicated by a minus sign.$)$

$1-$d$.$ Prepare the balance sheet.