Presented below is the trial balance of Thompson Corporation at December 31, 2010. THOMPSON CORPORATION Trial Balance Year Ended December 31, 2010 Debits Credits Purchase Discounts $10,000 Cash $189,700 Accounts Receivable 105,000 Rent Revenue 18,000 Retained Earnings 160,000 Salaries Payable 18,000 Sales 1,100,000 Notes Receivable 110,000 Accounts Payable 49,000 Accumulated Depreciation-Equip 28,000 Sales Discounts 14,500 Sales Returns 17,500 Notes Payable 70,000 Selling Expenses 232,000 Administrative Expenses 99,000 Common Stock 300,000 Income Tax Expense 53,900 Cash Dividends 45,000 Allowance for Doubtful Accounts 5,000 Supplies 14,000 Freight-in 20,000 Land 70,000 Equipment 140,000 Bonds Payable 100,000 Gain on Sale of Land 30,000 Accumulated Depreciation-Bldg 19,600 Merchandise Inventory 89,000 Building 98,000 Purchases 610,000 Totals $1,907,600 $1,907,600 A physical count of inventory on December 31 resulted in an inventory amount of $64,000 thus, cost of goods sold for 2010 is $645,000 Instructions: Prepare a single-step income statement and a retained earnings statement. Assume that the only changes in retained earnings during the current year were from net income and dividends. 30,000 shares of common stock are outstanding the entire year.