What effect will the following closing entry have on the retained earnings account?
A)Retained earnings will remain unchanged.
B)Retained earnings will decrease by $3,550.
C)Retained earnings will increase by $3,550.
D)Retained earnings will be transferred to the income statement.

Question

What effect will the following closing entry have on the retained earnings account? 
A)Retained earnings will remain unchanged. 
B)Retained earnings will decrease by $3,550. 
C)Retained earnings will increase by $3,550. 
D)Retained earnings will be transferred to the income statement.

Quizplus · Accepted Answer

The Answer of What effect will the following closing entry have on the retained earnings account? 
A)Retained earnings will remain unchanged. 
B)Retained earnings will decrease by $3,550. 
C)Retained earnings will increase by $3,550. 
D)Retained earnings will be transferred to the income statement.

What Effect Will the Following Closing Entry Have on the Retained