Consider the following account starting balances and transactions involving these accounts.

Use T-accounts to record the starting balances and the offsetting entries for the transactions.

The starting balance of Cash is $8,400

The starting balance of Inventory is $4,200

The starting balance of Retained Earnings is $23,500

1. Consume good or service and pay expense of $2

2. Sell product for $40 in cash with historical cost of $32

3. Sell, deliver, and receive payment of $25 for service

What is the final amount in Retained Earnings?