Exercise 1-14A Calculate the balance of retained earnings (L01-3) During its first five years of operations, Red Raider Consulting reports net income and pays dividends as follows. Required: Calculate the balance of retained earnings at the end of each year. Note that retained earnings will always equal $0 at the beginning of year 1. Year Dividends Retained Earnings 1 Net Income $ 1,350 1,850 $ 530 530 2 3 4 2,400 3,500 4,700 1,150 1,150 1,150 5