Chapter 4, Problem 4.13E

Exercise 4.13

LO 3

Calculate retained earnings On February l, 2016, the balance of the retained earnings account of Blue Power Corporation was $315,000. Revenues for February totaled $61,000, of which $57,500 was collected in cash. Expenses for February totaled $65,000, of which $54,000 was paid in cash. Dividends declared and paid during February were $6,000.

Required:

Calculate the retained earnings balance at February 28, 2016.