Problem 4-1 PLEASE SHOW WORK IF POSSIBLE!!!!

The following information is related to Martinez Company for 2017. Retained earnings balance, January 1, 2017 $997,830 Sales Revenue 26,123,300 Cost of goods sold 16,214,400 Interest revenue 78,400 Selling and administrative expenses 4,737,300 Write-off of goodwill 827,800 Income taxes for 2017 1,287,700 Gain on the sale of investments 113,900 Loss due to flood damage 397,600 Loss on the disposition of the wholesale division (net of tax) 457,400 Loss on operations of the wholesale division (net of tax) 96,820 Dividends declared on common stock 249,400 Dividends declared on preferred stock 78,330 Martinez Company decided to discontinue its entire wholesale operations (considered a discontinued operation) and to retain its manufacturing operations. On September 15, Martinez sold the wholesale operations to Rogers Company. During 2017, there were 490,600 shares of common stock outstanding all year.

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

MARTINEZ COMPANY Income Statement

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

MARTINEZ COMPANY Retained Earnings Statement