The balance in retained earnings on January 1, 2017, for Palmer Inc. was exist750,000. During the year, the corporation paid cash dividends of exist87,000 and distributed a stock dividend of exist8,000. In addition, the company determined that it had understated its insurance expense in prior years by exist47,000. Net income for 2017 was exist130,000. Prepare the retained earnings statement for 2017. (List items that increase retained earnings first.)