The following accounts and balances were drawn from the records of Ji Company: Based on this information alone the amount of Ji's retained earnings is
A)$11,600.
B)$5,200.
C)$17,200.
D)None of the above.

Question

The following accounts and balances were drawn from the records of Ji Company:  Based on this information alone the amount of Ji's retained earnings is
A)$11,600. 
B)$5,200. 
C)$17,200. 
D)None of the above.

Quizplus · Accepted Answer

Assets ($4,500 + $2,700 + $10,000 - $3,200) = Liabilities ($2,800) + Equity ($6,000 + Retained Earnings); Retained Earnings = $5,200

The Following Accounts and Balances Were Drawn from the Records