Presented below is information related to Ivan Calderon Corp. for the year 2014.

Net sales

$1,300,000

Write-off of inventory due to obsolescence

$ 80,000

Cost of goods sold

780,000

Depreciation expense omitted by accident in 2013

55,000

Selling expenses

65,000

Casualty loss (extraordinary item) before taxes

50,000

Administrative expenses

48,000

Cash dividends declared

45,000

Dividend revenue

20,000

Retained earnings at December 31, 2013

980,000

Interest revenue

7,000

Effective tax rate of 34% on all items

Prepare a multiple-step income statement for 2014. Assume that 60,000 shares of common stock are outstanding.

(b)	Prepare a separate retained earnings statement for 2014.