Answer:
The retained earnings balance on February 28, 2019 is $305.000.
Explanation:
Balance of the retained earnings account on February 1, 2019 = $315,000
Revenue for February 2019 = $61,000
Expenses for February 2019 = $65,000
Dividend declared in February 2019 = $6,000
Net Income = Revenue - Expenses = 61,000 - 65,000 = -4,000
Ending Balance of Retained Earning = Beginning balance of retained earning + net Income - dividend =
Ending Balance of Retained Earning = $315,000 + (-4000) - $6,000
Ending Balance of Retained Earning = $305,000
The retained earnings balance on February 28, 2019 is $305.000.
