Required

a$.$ Determine the amount of retained earnings as of December $31,$ Year $1.$

b$.$ & c$.$ In the accounting equation table, record the beginning account balances, revenue, expense, and dividend events under the appropriate headings of the accounting equation.

d$.$ Complete the table below to prove the equality of the accounting equation as of December $31,$ Year $2.$

e$.$ Identify the beginning and ending balances in the Cash and Common Stock accounts. Enter the effect of each transaction on these accounts to demonstrate why the beginning and ending balances in the Cash account are different but the beginning and ending balances in the Common Stock account remain the same.

Complete this question by entering your answers in the tabs below.

Req B and C

In the accounting equation table, record the beginning account balances, revenue, expense, and dividend events under the appropriate headings of the accounting equation.

Note: Enter any decreases to account balances with a minus sign. Leave cells blank if no input is needed.

$\backslash$table$[[$MOSS COMPANY$],[$Effect of Year $2$ Transactions on the Accounting Equation$],[$Event$,$Assets,$=,\backslash$table$[[$Liabilities$],[$Notes$],[$Payable$]],+,$Stockholders' Equity$],[$Cash$,\backslash$table$[[$Common$],[$Stock$]],+,\backslash$table$[[$Retained$],[$Earnings$]]],[$Beginning balances,,$=,,+,,+,],[1.,,=,,+,,+,],[2.,,=,,+,,+,],[3.,,=,,+,,+,],[$Ending balance,$0,=,0,+,0,+,0]]$

Rea A

ReaD

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