Fick Psychological Services, Inc., closes its temporary accounts once each year on December 31. The company recently issued the following income statement as part of its annual report. NOT: retained eranings = net profit, dividends Revenue: withdrawal FICK PSYCHOLOGICAL SERVICES, INC. Income Statement For the year ended December 31, current year Counseling revenue Expenses: Advertising expense Salaries expense $ 420,000 $ 2,800 99,000 Office supplies expense 1,400 Utilities expense 1,000 Malpractice insurance expense 6,000 Office rent expense 30,000 Continuing education expense 2,500 Depreciation expense: fixtures Miscellaneous expense 4,500 8,000 Income taxes expense 28,000 Net income 183,200 $ 236,800 Fick's statement of retained earnings indicates that a $5,000 cash dividend was declared and paid during the current year. a. Prepare the necessary closing entries on December 31 of the current year. b. If Fick's Retained earnings account had a $96,000 balance on at the beginning of the current year, at what amount should Retained Earnings be reported in the firm's year-end balance sheet dated December 31?