Checkmate Games, Inc., started business on April 1, 2011, with $7,500 cash contribution from its owners in exchange for common stock. The company used $2,225 of the cash for equipment for the new shop and $2,750 on games for its inventory. During the month, the company earned $4,275 of revenue in cash from the sale of the entire inventory. On April 30, 2011, the owners then spent $3,000 cash on more games for the inventory. What is the retained earnings balance on April 30, 2011? How much cash does the company have on hand on April 30, 2011?
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