Determination of Retained Earnings and Net Income The following information appears in the records of Bock Corporation at the end of 2012:
| Accounts Receivable | $34,500 | Retained Earnings | ? | |
| Accounts Payable | 16,500 | Supplies | $10,500 | |
| Cash | 12,000 | Equipment | 210,000 | |
| Common Stock | 165,000 |
a. Calculate the amount of retained earnings at the end of 2012.
b. Using your answer from part a, if the amount of the retained earnings at the beginning of 2012 was $45,000 and dividends were paid in the amount of $18,000 during 2012, what was the company’s net income for 2012?
a. Retained Earnings Balance at year-end 2012 $
b. Net Income for 2012 $
