The following is the trial balance of Thompson Corporation at December 31, 2025.

A physical count of inventory on December 31 resulted in an inventory amount of $64,000; thus, cost of goods sold for 2025 is $645,000.

Instructions
Prepare a single-step income statement and a retained earnings statement. Assume that the only changes in retained earnings during the current year were from net income and dividends. Thirty thousand shares of common stock were outstanding the entire year.

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Purchase Discounts Cash Accounts Receivable Thompson Corporation Trial Balance December 31, 2025 Debit Rent Revenue Retained Earnings Salaries and Wages Payable Sales Revenue Notes Receivable Accounts Payable Accumulated Depreciation-Equipment Sales Discounts Sales Returns and Allowances Notes Payable Selling Expenses Administrative Expenses Common Stock Income Tax Expense Cash Dividends Allowance for Doubtful Accounts $ 189,700 105,000 110,000 14,500 17,500 232,000 99,000 53,900 45,000 Credit $ 10,000 18,000 160,000 18,000 1,100,000 49,000 28,000 70,000 300,000 5,000