Retained Earnings is an account that appears in the stockholders equity section of the balance sheet, yet

Question:

Retained Earnings is an account that appears in the stockholders’ equity section of the balance sheet, yet it consists primarily of revenues and expenses, which are both found on the income statement. How can this be? What does the retained earnings balance sig¬ nal to users?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: