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A company started the year with the following: Assets $106,000; Liabilities $36,000; Common Stock $66,000; Retained Earnings $4,000. During the year, the company earned revenue of $5,600, all of which was received in cash, and incurred expenses of $3,300, all of which were unpaid as of the end of the year. In addition, the company paid dividends of $1,600 to owners. Assume no other activities occurred during the year.
Question 1: Find The amount of retained earnings at the end of the year is:
Multiple Choice
$4,700.$9,600.$6,300.$1,600.
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