Presented below is information (in thousands) related to Chen Company.

Retained earnings, December 31, 2018 650,000

Sales revenue 1,400,000

Selling and administrative expenses 240,000

Loss on disposal of component (pre-tax) 260,000

Cash dividends declared on ordinary shares 33,600

Cost of goods sold 830,000

Gain resulting from computation error on depreciation charge in 2017 (pre-tax) 520,000

Rent revenue 120,000

Impairment loss 90,000

Interest expense 10,000

Instructions

Prepare in good form an income statement for the year 2019. Assume a 30% tax rate and that there were 70,000 ordinary shares outstanding during the year.