Net income for a company can be calculated by considering the change in retained earnings, which reflects profits or losses not distributed as dividends. Given that Ivan's, Incorporated had a decrease in retained earnings of $111 and an increase in common stock of $185, we can infer that part of the net income was used to pay dividends and part was added to shareholders' equity through retained earnings.

However, the interest paid ($575) is typically an expense that reduces net income, while dividends are not considered an expense but rather a distribution of profits. Therefore, to calculate the net income, we need to add back the interest expense to the decrease in retained earnings:

Net income = Decrease in retained earnings + Interest expense Net income = -$111 + $575

Now let's perform the calculation:

Net income = $575 - $111 Net income = $464

So, the net income for the year for Ivan's, Incorporated is $464.