Question

Retained earnings, December 31, 2012 $ 306,800 Cost of equipment purchased during 2013 29,000 Net loss for the year ended December 31, 2013 4,000 Dividends declared and paid in 2013 14,300 Decrease in cash balance from January 1, 2013, to December 31, 2013 11,100 Decrease in long-term debt in 2013 14,000 Required: From the above data, calculate the retained earnings balance as of December 31, 2013. (Negative amounts should be indicated by a minus sign.)

Answer 1

Answer:

$288,500

Explanation:

Particulars                                                          Amount

Retained Earnings Dec 31, 2012                      $306,800

Less: Net Loss for the Year                              $4,000

Less: Dividend declared and paid in 2013      $14,300

Retained Earnings Dec 31, 2013                     $288,500