After closing entries are posted, the balance in the retained earnings account in the ledger will be equal to
A) the beginning retained earnings reported on the retained earnings statement.
B) the amount of the retained earnings reported on the statement of financial position.
C) zero.
D) the net income for the period.

Question

Quizplus · Accepted Answer

After closing entries are posted, the retained earnings account reflects the beginning retained earnings plus net income (or minus net loss) and minus any dividends, which equals the ending retained earnings reported on the statement of financial position.

After Closing Entries Are Posted, the Balance in the Retained