As of December 31, Year 1, Moss Company had total cash of $159,000, notes payable of $85.900, and common stock of $52,700. During Year 2. Moss earned $39,000 of cash revenue, paid $21,500 for cash expenses, and paid a $3,300 cash dividend to the stockholders. Required a. Determine the amount of retained earnings as of December 31, Year 1. Retained earnings S 20,400 b.& c. Create an accounting equation and record the beginning account balances, revenue, expense, and dividend events under the appropriate elements of the accounting equation. (Enter any decreases to account balances with a minus sign.) MOSS COMPANY Effect of Year 2 Transactions on the Accounting Equation Assets Liabilities Stockholders' Equity Event Notes Common Retained Cash Payable Stock Earnings Beginning balance 159,000 85.900 52,700 + 20,400 1. Earned revenue 39,000 39,000 2 Paid expenses (21,500) (21,500) 3. Paid dividend (3.300) = (3.300) Ending balance 173,200 - 85,900 + 52,700 + 34,600 + + . + + +