Respuesta :
Calculation of ending retained earnings balance after closing:
The balance in ending retained earnings after closing can be calculated as follows:
Balance in retained earnings account before closing $297,000
Add: Revenues $185,000
Less: Expenses $103,700
Less: Dividends $18,000
Ending retained earnings balance after closing = $360,300
Hence, The balance in ending retained earnings after closing is $360,300
$360,300 is the answer.
The ending earnings balance after closing is $360,300.
Further Explanation:
Retained earnings:
Retained earnings are an income of the company at the end of the year.
Dividends:
A dividend is a payment made to the shareholders of the company by the owner of the company. In simple words, dividend is a distribution of profit.
Expenses:
Expenses are the outflow of the firm or the amount paying for making the product or carrying out the business activities.
To compute the amount of ending retained earnings:
Step 1:
Add beginning retained earnings of $297,000 with revenues of $185,000 and subtract expenses of $103,700 and dividends of $18,000.
Ending retained earnings = Beginning retained earnings +Revenues – Expenses –
Dividends
= $297,000 + $185,000 - $103,700 - $18,000
= $360,300
Thus, the ending retained earnings balance after closing is $360,300.
Learn More:
1. Recording bank accounts
https://brainly.com/question/3212764
2.Account's accumulated value
https://brainly.com/question/1033449
3. Trade offs
https://brainly.com/question/5057443
Answer Details:
Grade: High school
Chapter: Cash flow statements
Subject: Accounting
Keywords: Tiptoe shoes, had annual revenues of $185,000, expenses of $103,700, and paid dividends of $18,000 during the current year. The retained earnings account before closing had a balance of $297,000. The ending retained earnings balance after closing is, $360,300, carrying out a business, distribution of profit, income of the company at the end of the year.
