Answer:
Retained earnings, December 31, 2016 = 26,700
Explanation:
The Statement of Retained Earnings can be prepared as follows:
SMART TOUCH LEARNING
Statement of Retained Earnings
For the month ended December 31, 2016
<u>Details Amount </u>
Retained earnings, December 01, 2016 13,000
Net income for the month 46,800
Dividends <u> (33,100) </u>
Retained earnings, December 31, 2016 <u> 26,700 </u>
Note: No currency sign is used in the answer in order to avoid confusion because no currency is used in the question itself.