What effect will the following closing entry have on the retained earnings account? Account Title Service Revenue Interest Expense Operating Expenses Retained Earnings Multiple Choice Debit 22,600 Retained earnings will increase by $3,500. Credit Retained earnings will be transferred to the income statement. Retained earnings will decrease by $3,500. 1,700 17,400 3,500

What effect will the following closing entry have on the retained earnings account? Multiple Choice Retained earnings will be transferred to the income statement. Retained earnings will increase by $3,500. Retained earnings will decrease by $3,500