Wealthy Manufacturing Company purchased 30 percent of the voting shares of Diversified Products Corporation on March 23, 20X4 On December 31, 20X8, Wealthy Manufacturing's controller attempted to prepare income statements and retained earnings statements for the two companies using the following summarized 20X8 data Net Sales Cost of Goods Sold Other Expenses Dividends Declared& Paid Retained Eamings, 1/1/X8 Wealthy Manufacturing $851, 000 669, 000 105, 000 39, 000 428, 000 Diversified Products $414, 000 314, 000 35, 000 19, 000 270, 000 Wealthy Manufacturing uses the equity method in accounting for its investment in Diversified Products. The controller was also aware of the following specific transactions for Diversified Products in 20X8, which were not included in the preceding data 1. Diversified sold its entire Health Technologies division on September 30, 20X8, for $379,000. The book value of Health Technologies division's net assets on that date was $318,000. The division incurred an operating loss of $26,000 in the first nine months of 20X8 2. During 20X8, Diversified sold one of its delivery trucks after it was involved in an accident and recorded a gain of $17,000 b. Prepare an income statement and retained earnings statement for Wealthy Manufacturing for 20X8. (Amounts to be deducted and loss amounts should be indicated by a minus sign.) WEALTHY MANUFACTURING COMPANY Income Statement Year Ended December 31, 20X8 $ 851,000 669,000 182,000 et sales Cost of goods sold Gross profit Other expenses ncome from continuing operations of Diversified Products Corporation Income from continuing operations Discontinued operations $ 105,000 (66,000) 116,000 Share of gain on sale of division reported by Diversified Products Share of operating loss reported by Diversified Products on discontinued division et income 116,000 WEALTHY MANUFACTURING COMPANY Retained Earnings Statement Year Ended December 31, 20X8 Retained earnings, January 1 , 20X8 Retained earnings, December 31 , 20X8