As of December 31, 2016, Flowers Company had total assets of $30,000, total liabilities of $9,000, and common stock of $15,000. The companys 2016 income statement contained revenue of $5,000 and expenses of $3,000. The 2016 statement of changes in stockholders equity stated that $400 of dividends were paid to investors.

a. Determine the before-closing balance in the Retained Earnings account on December 31, 2016.

B. Determine the after-closing balance in the Retained Earnings account on December 31, 2016.