Retained earnings , January 1, 20202,250,000

Sales revenue53,000,000

Cost of goods sold33,000,000

Interest revenue120,000

Selling and administrative expenses8,900,000

Write-off of goodwill2,100,000

Income taxes for 20203,650,000

Loss on the sale of investments53,000

Loss due to hurricane damage1,100,000

Gain on the disposition of the retail division (net of tax)23,000

Loss on operations of the retail division (net of tax)231,000

Dividends declared on common stock350,000

Dividends declared on preferred stock125,000

INSTRUCTIONS:1.FILL OUT CATEGORY COLUMN ABOVE.2. Prepare a multiple-step income statement3. Prepare a separate Retained Earnings StatementOn September 15, Karlin sold the retail operations to Shark CorpAssume that 60,000 shares of common stock are outstanding.