Answer:
$1,093,000
Explanation:
Given the above information, retained earnings in the balance sheet for 2016 would be computed as;
Beginning retained earnings + Net income - Dividends = Ending retained earnings
Fixing in the values, then we'll have
Beginning retained earnings + $255,000 - $51,000 = $1,297,000
Beginning retained earnings = $1,297,000 - $255,000 + $51,000
Beginning retained earnings = $1,093,000
It therefore means that the sum of $1,093,000 is the retained earnings in Excel Sports Inc. 2016 balance sheet.
