Answer:
$13,000 is the year-end balance in retained earnings for K and J Nursery, Inc.
Explanation:
Total Assets = Cash + Account Receivable + Inventory + Equipment
Total Assets = 35,000 + 30,000 + 44,000 + 99,000
Total Assets = 208,000
Total Liabilities = Account Payable + Salaries Payable + Interest Payable + Note Payable
Total Liabilities = 33,000 + 14,500 + 10,500 + 49,000
Total Liabilities = 107,000
Total Assets = Total Equity + Total Liabilities
Total Equity = Total Assets - Total Liabilities
Total Equity = 208,000 - 107,000
Total Equity = 101,000
Retained Earning = Total Equity - Common Stock
Retained Earning = 101,000 - 88,000
Retained Earning = 13,000
