Please provide an explanation for how to solve Stockholder's Equity and Retained Earnings columns below with calculations.

M4-9 Reporting a Statement of Stockholders Equity LO4-2

Romney's Marketing Company has the following adjusted trial balance at the end of the current year. No dividends were declared. However, 590 shares ($0.10 par value per share) issued at the end of the year for $2,800 are included below:

	Debit				Credit
Cash	$	1,530
Accounts receivable		2,300
Interest receivable		290
Prepaid insurance		1,620
Notes receivable (long-term)		2,830
Equipment		17,000
Accumulated depreciation				$	2,820
Accounts payable					2,350
Accrued expenses payable					3,770
Income taxes payable					2,660
Unearned rent revenue					460
Common Stock (800 shares)					80
Additional paid-in capital					3,580
Retained earnings					6,170
Sales revenue					37,050
Interest revenue					170
Rent revenue					670
Wages expense		18,600
Depreciation expense		1,770
Utilities expense		410
Insurance expense		710
Rent expense		10,000
Income tax expense		2,720
Total	$	59,780		$	59,780

Prepare a statement of stockholders' equity in good form for the current year.

M4-9 Reporting a Statement of Stockholders Equity LO4-2 Romney's Marketing Company has the following adjusted trial balance at the end of the current year. No dividends were declared. However, 590 shares ($0.10 par value per share) issued at the end of the year for $2,800 are included below: Debit Credit S 1,530 Accounts receivable Interest receivable Prepald insurance Notes receivable long-term) Equipment Accumulated depreciation Acccunts payable Accrued expenses payable Income taxes payable Unearned rent revenue Common Stock (800 shares) Additional paid-n capital Retained eamings Sales revenue Interest revenue Rent revenue Wages expense Depreciation expense Utilities expense Insurance expense Rent expense Income tax expense 17,000 S 2,820 2,680 6,170 37,050 8,800 1,770 10,000 Prepare a statement of stockholders' equity in good form for the current year. ROMNEY'S MARKETING COMPANY Statement of Stockholders' Equity For the current year Total Common Additional StockPaid-in CapitalEarnings Equity Balance, January 1 83B Share issuanos 50 2,741 Net income 3,680 Balanca, December 31 Bat s 3,580