Create a Statement of Retained Earnings using the following information:

Sapid Sweets

Income Statement

In thousands of dollars

Year ending December $31,2004$

Sales $$525,690$

Cost of Goods Sold $$200,098$

Gross Margin $$325,592$

Rent $$15,000$

Salaries and Wages $$15,600$

Adverting and Promotions $$132,987$

Research and Development $$6,872$

Transportation and Shipping $$37,900$

Administrative Expenses $$1,000$

Total Operating Expenses $$209,359$

Operating Income $($EBIT$)$ $$116,233$

Interest Expenses $$7,256$

Pre$-$Tax Net Income $$108,977$

Income Taxes $$-$

Net Income After Taxes $$108,977$