Question

Kincaid​ Company's Retained Earnings balance on January 1 was $ 5,000. During the current​ year, Kincaid earned $ 3 comma 300 in revenues and incurred $ 4,100 in expenses. Kincaid declared and paid $ 2,200 in​ dividends, all in cash. After the closing entries are​ made, Kincaid's Retained Earnings balance on December 31 will​ be:_____

Answer 1

Answer:

Retained earnings balance on Dec 31 = $2000

Explanation:

Statement showing computations  

Particulars                                                                 Amount

Opening balance in retained earnings                   $ 5,000.

Add income (Loss) = $3300 - $4100                           (-$800.00)

Less Dividends Paid =                                                  (2,200.00)

Retained earnings balance on Dec 31                          $2000