Newtown, Inc. had beginning retained earnings of $$350,000$ on January $1,2025.$ During the year, Newtown, Inc. declared and paid $$110,000$ of cash dividends and earned $$150,000$ of net income. In addition, the company reports on January $1,2025,12,000$ shares of common stock at a par value of $$4$ per share. The company issued this stock at par value, and there were no additional changes in common stock throughout the year. Prepare a statement of retained earnings and statement of stockholders' equity for Newtown, Inc. for the year ended December $31,2025$

Start by preparing a statement of retained earnings for Newtown, Inc. for the year ended December $31,2025.($Enter any increases in retained earnings prior to the subtotal and any decreases to retained earnings below the subtotal.$)$

Newtown, Inc.

Statement of Retained Earnings

Year Ended December $31,2025$