Looking at the information below, please tell me what the new retained earnings number should be on the balance sheet for 2018? hint: you need to calculate Net Income before you can estimate Retained Earnings Income Statement items (2018) EBIT $510,000 $15,000 Interest Expense Balance Sheet Items (ending 2017) Long-Term Debt Retained Earnings Balance $3,000,000 $1,200,000 Tax Rate = Payout Ratio = 21% 70%