The following information is related to Nash Company for 2017.

Retained earnings balance, January 1, 2017		$983,980
Sales Revenue		26,111,200
Cost of goods sold		16,270,700
Interest revenue		78,300
Selling and administrative expenses		4,791,200
Write-off of goodwill		839,300
Income taxes for 2017		1,430,000
Gain on the sale of investments		112,800
Loss due to flood damage		399,900
Loss on the disposition of the wholesale division (net of tax)		456,100
Loss on operations of the wholesale division (net of tax)		97,110
Dividends declared on common stock		248,900
Dividends declared on preferred stock		87,900

Nash Company decided to discontinue its entire wholesale operations (considered a discontinued operation) and to retain its manufacturing operations. On September 15, Nash sold the wholesale operations to Rogers Company. During 2017, there were 547,900 shares of common stock outstanding all year.

1. Prepare a multiple-step income statement.

2. Prepare a retained earnings statement.