Accounts Payable		$ 37,520
Accounts Receivable		24,080
Accumulated Depreciation?Equipment		95,200
Cash		11,200
Common Stock		49,000
Cost of Goods Sold		860,020
Freight-Out		8,680
Equipment		219,800
Depreciation Expense		18,900
Dividends		16,800
Gain on Disposal of Plant Assets		2,800
Income Tax Expense		14,000
Insurance Expense		12,600
Interest Expense		7,000
Inventory		36,680
Notes Payable		60,900
Prepaid Insurance		8,400
Advertising Expense		46,900
Rent Expense		47,600
Retained Earnings		19,880
Salaries and Wages Expense		163,800
Sales Revenue		1,265,600
Salaries and Wages Payable		8,400
Sales Returns and Allowances		28,000
Utilities Expense		14,840

Additional data: Notes payable are due in 2021.

WOLFORD DEPARTMENT STORE
Income Statement
For the Year Ended November 30, 2017
Revenue
Sales Revenue		$1,265,600
Less: Sales returns and allowance		$28,000
Net sales		$1,237,600
Cost of goods sold		$860,020
Gross profit		$377,580
Operating expenses
Freight out	$8,680
Depreciation expenses	$18,900
Insurance expenses	$12,600
Advertising expenses	$46,900
Rent expenses	$47,600
Salaries and wages expenses	$163,800
Utilities expenses	$14,840
Total operating expenses		$313,320
Income from operations		$64,260
Other revenue and gains
Gain on Disposal of Plant Assets		$2,800
Other expenses
Interest expenses		$7,000
Income before income taxes		$60,060
Income tax expenses		$14,000
Net income/loss		$46,060

Prepare a retained earnings statement.

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WOLFORD DEPARTMENT STORE Retained Earnings Statement 47 WOLFORD DEPARTMENT STORE Retained Earnings Statement 47

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