The Following Information Was Taken from the Accounting Records of Winnifred

The following information was taken from the accounting records of Winnifred Corp.at December 31,2017.The income tax rate is 40%.
Preferred shares,$1,50,000 shares authorized,
$$\begin{array} { l c } \text { 10,000 shares issued } & \$ 150,000 \\\text { Retained earnings, balance as of january 1,2017 } & 287,000 \\\text { Cost of goods sold } & 935,000 \\\text { Gain on sale of discontinued segment } & 80,000 \\\text { Sales revenue (net) } & 1,450,000 \\\text { Selling expenses } & 215,000 \\\text { Preferred dividends } & 10,000 \\\text { Common dividends } & 70,000 \\\text { Administrative expenses } & 112,000 \\\text { Operating income, discontinued segment } & 33,000 \\\text { Loss on expropriation of land } & 46,000\end{array}$$ Common shares,unlimited number of shares authorized,
$\begin{array}{llr} \text {200,000 shares issued } &315,000\\\end{array}$
There were no share transactions in 2017.
Prepare a single step income statement and a statement of retained earnings for the year ended December 31,2017.