Income Statement and Retained Earnings The Huff Company presents the following partial list of account balances taken from its December 31, 2016 adjusted trial balance:

Sales (net)	$125,000			Operating expenses	$22,300
Interest expense	4,200			Common stock, $5 par	22,000
Cost of goods sold	60,000			Retained earnings, 1/1/2016	48,800

The following information is also available for 2016 and is not reflected in the preceding accounts:

The common stock has been outstanding all year. A cash dividend of $1.24 per share was declared and paid.

Land was sold at a pretax gain of $7,100.

Division X (a major component of the company) was sold at a pretax gain of $4,640. It had incurred a $9,450 pretax operating loss during 2016.

A tornado, which is an unusual event in the area, caused a $5,350 pretax loss.

The income tax rate on all items of income is 30%.

The average shareholders' equity is $90,000.

1. Prepare a 2016 multiple-step income statement for Huff. Round earnings per share computations to two decimal places.

2. Prepare a 2016 retained earnings statement.