Statement of Retained Earnings
				Prophy Research Corporation
	3-22-04 draft			Years 2000-2003
				(in dollars)
						2003		2002		2001		2000
Balance of retained earnings						-58,882		-58,773		-58,059		-60,849
or (loss) at year beginning
+ or - earnings or (loss)						-1,967		-109		-714		-1,284
during year
Balance of retained earnings						-60,849		-58,882		-58,773		-62,133
or (loss) at year end
				Sources and Uses of Funds
Sources of funds
	Cash from stockholders					1,942		109		689		1,259
	Cash decrease					25		0		25		25
	Total sources					1,967		109		714		1,284
Uses of funds
	Cash expenses					1,967		109		714		1,284
	Cash increase					0		0		0		0
	Total uses					1,967		109		714		1,284
				Bank Statement
Cash (Ray's pocket)						0		0		0		0
Bank (corporate account)						1,027		1,052		1,052		1,077
Total cash						1,027		1,052		1,052		1,077