Please help find Retained earnings. Income StatementBalance SheetAdjusted Trial BalanceDebitCreditDebitCreditDebitCreditAccount Title16,00016,000Cash6,0006,000Accounts Receivable2,0002,000SuppliesEquipment19,00019,000Accumulated Depr.6,0006,000Accounts Payable10,00010,000Wages Payable2,0002,000Common Stock5,0005,000Retained Earnings3,3603,360Dividends1,0001,000Fees Earned49,48849,488Wages Expense19,55319,553Rent Expense6,8496,849Depreciation Expense5,4465,446Totals75,84875,84831,84849,48844,00026,360Net Income (Loss)17,64017,64049,48849,48844,00044,000The effect of closing revenues and expenses to Retained Earnings will be to:Oa. increase Retained Earnings by $17,640Ob. decrease Retained Earnings by $17,640Oc. increase Retained Earnings by $31,848d. decrease Retained Earnings by $44,000

Retained earnings are the profit accumulated over a period of time. The closing retained earnings…

Answered: Retained earnings

Business

Accounting

Retained earnings

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Please help find Retained earnings.

Income Statement
Balance Sheet
Adjusted Trial Balance
Debit
Credit
Debit
Credit
Debit
Credit
Account Title
16,000
16,000
Cash
6,000
6,000
Accounts Receivable
2,000
2,000
Supplies
Equipment
19,000
19,000
Accumulated Depr.
6,000
6,000
Accounts Payable
10,000
10,000
Wages Payable
2,000
2,000
Common Stock
5,000
5,000
Retained Earnings
3,360
3,360
Dividends
1,000
1,000
Fees Earned
49,488
49,488
Wages Expense
19,553
19,553
Rent Expense
6,849
6,849
Depreciation Expense
5,446
5,446
Totals
75,848
75,848
31,848
49,488
44,000
26,360
Net Income (Loss)
17,640
17,640
49,488
49,488
44,000
44,000
The effect of closing revenues and expenses to Retained Earnings will be to:
Oa. increase Retained Earnings by $17,640
Ob. decrease Retained Earnings by $17,640
Oc. increase Retained Earnings by $31,848
d. decrease Retained Earnings by $44,000

Definition Definition Remaining net income of the company after the required dividends are paid to shareholders. This surplus money is usually invested back into the business to expand its business operations or launch a new product.

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