On March 1 Smith Industries purchased supplies of $1,200 on account. The entry to record the purchase will include a. a debit to Accounts Receivable and a credit to Supplies. b. a debit to Supplies and a credit to Accounts Payable. c. a debit to Supplies Expense and a credit to Accounts Receivable. d. a debit to Supplies and a credit to Cash.

Then,

At January 1, 2017, Not So Fast Industries reported retained earnings of $125,000. During 2017, Not So Fast had a net loss of $30,000 and paid dividends of $15,000. At December 31, 2017, the amount of retained earnings is a. $60,000. b. $70,000. c. $80,000. d. $100,000.