Seminoles Corporation’s fiscal year-end is December 31, 2018. The following is a

Question

Seminoles Corporation’s fiscal year-end is December 31, 2018. The following is a partial adjusted trial balance as of December 31.     

Required:

1. Prepare the necessary closing entries. (I have already done this)

2. calculate the ending balance of Retained Earnings. (I don't know or understand how to do this one!)

Accounts Debit Credit   Retained Earnings $ 11,000   Dividends $ 1,100   Service Revenue 31,000   Interest Revenue 4,100   Salaries Expense 13,100   Rent Expense 4,100   Advertising Expense 1,100   Depreciation Expense 9,100   Interest Expense 3,100 Answer is complete and correct. No Date General Journal Debit Credit December 31, Service revenue 31,000 2018 4,100 Interest revenue Retained earnings 35,100 December 31, 2018 30,500 Retained earnings Salaries expense Rent expense Advertising expense Depreciation expense Interest expense 13,100 4,100 1,100 9,100 3,100 Decembe 3, Retained earnings 1,100 2018 1,1000 Dividends 2. Calculate the ending balance of Retained Earnings. Answer is complete but not entirely correct. Retained 3.500

Explanation / Answer

Ans. Ending balance of retained earnings $14500

Calculations:

Beginning balance of retained earnings. 11000

Add: Net income. 4600

Less: Dividend. 1100

Ending balance of retained earnings. 14500

*Calculation of net income:

Service revenue. 31000

Interest revenue. 4100

Total revenue (A). 35100

Less: Expenses:

Salaries expenses. 13100

Rent expenses. 4100

Advertising expenses. 1100

Depreciation expenses. 9100

Interest expenses. 3100

Total expenses (B). 30500

Net income (A-B). 4600

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