The following accounts were taken from a company's accounting records. Answer the questions that follow.
A)How much is the balance of Retained Earnings at the end of the year?
B)Show the company's accounting equation at the end of the year with the respective dollar amounts.
C)If stockholders' equity increases during the year, does that mean that the company is profitable? Explain your answer.
Correct Answer:
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($150,000 Retained earnings, ...
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