On January 1, 2017, Eddy Corporation had retained earnings of $543,000. During the year, Eddy had the following selected transactions. 1. Declared cash dividends $123,000. 2. Corrected overstatement of 2016 net income because of inventory error $41,500. 3. Earned net income $346,500. 4. Declared stock dividends $61,500. Prepare a retained earnings statement for the year. (List items that increase retained earnings first.)