Reference no: EM132588764
Question - The ledger of Luke, Inc. on March 31st includes these selected accounts before adjusting entries are prepared.
Prepaid Insurance: $18,000
Supplies: $3,000
Unearned Service Revenue: $12,000
An analysis of the accounts shows the following:
Insurance expires at the rate of $600 per month.
Supplies on hand total $1,400
During March, services were performed for 20% of the unearned revenue.
Before these adjusting entries, retained earnings is $15,000. After making the adjusting entries, what would be ending retained earnings?
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