Blackbeard's Restaurant Began Operations on January 1, 2019, with a Total

Blackbeard's Restaurant began operations on January 1, 2019, with a total investment of $100,000 by its stockholders. The restaurant had a net loss its first year of business of $15,000. During 2020 and 2021, the business was profitable with net incomes of $25,000 and $50,000, respectively. The company paid $5,000 per year in dividends to its shareholders in 2020 and 2021.
A)In good form, prepare a statement of retained earnings for the year ended December 31, 2020.
B)How much is total retained earnings on December 31, 2021?
C)Explain the link between the statement of retained earnings and the balance sheet.