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Week 2 - Graded Homework

The following information is reported for Kinney Corporation at the end of 2013.

Accounts Receivable	$34,500		Retained Earnings	$?
Accounts Payable	16,500		Supplies Inventory	13,500
Cash	12,000		Equipment	207,000
Common Stock	165,000

a. Compute the amount of retained earnings at the end of 2013. $Answer

b. If the amount of retained earnings at the beginning of 2013 was $45,000, and $18,000 in cash dividends were declared and paid during 2013, what was its net income for 2013?