The following account balances prior to closing entries were taken from the records of Kendall Company:
After closing entries at December 31,2016,Retained Earnings will be:
A)$19,900.
B)$7,400.
C)$2,900.
D)$24,400.

Question

Quizplus · Accepted Answer

The retained earnings after closing entries is calculated by adding net income to the beginning retained earnings and subtracting any dividends. The correct calculation leads to $19,900.

The Following Account Balances Prior to Closing Entries Were Taken