Presented below is information related to Waterway Corp. for the year 2017.

Net sales		$1,354,900		Write-off of inventory due to obsolescence		$82,650
Cost of goods sold		784,400		Depreciation expense omitted by accident in 2016		46,300
Selling expenses		70,000		Casualty loss		48,400
Administrative expenses		49,100		Cash dividends declared		42,320
Dividend revenue		22,800		Retained earnings at December 31, 2016		1,000,870
Interest revenue		7,590		Effective tax rate of 34% on all items

Prepare a multiple-step income statement for 2017. Assume that 62,660 shares of common stock are outstanding.

Prepare a separate retained earnings statement for 2017. (And please show me how to calculate the Correction for overstatement of net income in prior period in detail)