Question

b-4b5d-aa30-bd894bb066e5#/question/1 Question 2 of 10 < > - / 8 View Policies Current Attempt in Progress Partial adjusted trial balance data for Sheffield Corp. at December 31, 2020 includes the following accounts: Retained Earnings $17.600, Dividends $5,400, Service Revenue $30,520, Salaries and Wages Expense $13,440, Insurance Expense $1,560, Rent Expense $3,780, Supplies Expense $1.340, and Depreciation Expense $980. The balance in Retained Earnings is the balance as of January 1. Prepare a statement retained earnings for the year. (List items that increase retained earnings first.) SHEFFIELD CORP. Retained Earnings Statement $ e Textbook and Media List of Accounts Save for Lates Attempts: 0 of 3 used Submit Answer

Answer 1

Solution

Sheffield Corp

Statement of Retained Earnings for the year:

The statement of retained earnings comprise beginning balance of retained earnings, net income from income statement, dividends paid and ending balance of retained earnings.

Sheffield Corp Statement of Retained Earnings At December 31, 2020 Balance as of January 1 $17,600 Add: Net Income $9,420 Sub-total $27,020 Less: dividends $5,400 Balance as of December 31 $21,620

Computations: Computation of net income Service Revenue $30,520 Expenses: Wages Expense $13,440 Insurance Expense $1,560 Rent Expense $3,780 Supplies Expense $1,340 Depreciation Expense $980 Total expenses $21,100 Net Income $9,420