The statement of retained earnings reconciles the beginning retained earnings balance to the retained earnings balance at the end of the current period.

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The statement of retained earnings is an important financial statement that reconciles the beginning retained earnings balance with the retained earnings balance at the end of the current period. It takes into account any changes in net income, dividends paid to shareholders, and any other adjustments to the retained earnings balance. Therefore, the statement of retained earnings helps investors and analysts understand how a company's earnings have been retained and reinvested over time.

The Statement of Retained Earnings Reconciles the Beginning Retained Earnings