Schumacher Company uses the perpetual inventory system, and it engaged in the following transactions during 2014: 1) Started the business by issuing common stock for $8,070 cash 2) Paid cash to purchase $5,190 of inventory 3) Sold inventory that cost $3,285 for $7,820 cash 4) Incurred and paid operating expenses, $269 Schumacher Company engaged in the following transactions during 2015: 1) Paid cash to purchase $6,275 of inventory 2) Sold inventory that cost $7,570 for $16,290 cash 3) Incurred and paid operating expenses, $538 The amount of Retained Earnings at December 31, 2015 is:

$4,535.

$12,448.

$7,032.

$12,005.

5. 10.000 points Schumacher Company uses the perpetual inventory system, and itengaged in the following transactions during 2014 1) Started the business by issuing common stock for $8,070 cash 2) Paid cash to purchase $5.190 of inventory 30 Sold inventory that cost $3,285 for $7820 cash 4) Incurred and paid operating expenses, $269 Schumacher Company engaged in the following transactions during 2015 1) Paid cash to purchase $6,275 of inventory 2) Sold inventory that cost $7,570 for $16,290 cash 3) Incurred and paid operating expenses, $538 The amount of Retained Earnings at December 31, 2015 is: O $4,535. O $12,448. O $7032. O $12,005