Dawls company reported stockholder's equity on Dec 31 of the prior year as follows:

common stock $5 par value, 1000000
shares authorized, 500000 shares issued $2500000
Paid-in capital in excess of par common stock $1000000

Retained earnings 3000000

The following selected transactions ocurred during the current year:

• Feb 15 - the board of directors declared a 5% stock dividend to stockholders of record on March 1, payable March 20. The stock was selling for $8 per share
• March 9 - paid the stock dividend
• May 1 - A cash of 0.30$ per share was decared by the board of directors to stockholders of record on May 20, payable June 1
• June 1 - paid cash dividend
• August 20 - the board decided to split the stock 4-for-1, effective on September 1
• September 1- stock split 4for1
• Dec 31 - Earned a net income of $800000 for the current year.

Prepare a net income of $800000 for the current year.