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The following information is related to Kingbird Company for 2017. Retained earnings balance, January 1, 2017 $981,000 Sales Revenue 26,100,000 Cost of goods sold 16,100,000

The following information is related to Kingbird Company for 2017.

Retained earnings balance, January 1, 2017 $981,000
Sales Revenue 26,100,000
Cost of goods sold 16,100,000
Interest revenue 71,000
Selling and administrative expenses 4,710,000
Write-off of goodwill 821,000
Income taxes for 2017 1,254,000
Gain on the sale of investments 111,000
Loss due to flood damage 391,000
Loss on the disposition of the wholesale division (net of tax) 441,000
Loss on operations of the wholesale division (net of tax) 91,000
Dividends declared on common stock 251,000
Dividends declared on preferred stock 81,000

Kingbird Company decided to discontinue its entire wholesale operations (considered a discontinued operation) and to retain its manufacturing operations. On September 15, Kingbird sold the wholesale operations to Rogers Company. During 2017, there were 490,000 shares of common stock outstanding all year.

Part 1

Prepare a multiple-step income statement. (Round earnings per share to 2 decimal places, e.g. 1.49.)

Part 2

Prepare a retained earnings statement. (List items that increase retained earnings first.)

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