At January 1, 2014, LeAnna Industries reported retained earnings of $195,000. During 2014, LeAnna had a net loss of $45,000 and paid dividends of $30,000. At December 31, 2014, the amount of retained earnings is

Question

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Beginning Retained Earnings = $195,000 
Net Loss = ($45,000) 
Dividends = ($30,000)

Ending Retained Earnings = $195,000 - $45,000 - $30,000 = $120,000

At January 1, 2014, LeAnna Industries Reported Retained Earnings of $195,000