Answer:
The total balance of retained earnings account on December 31 $590.800
Explanation:
Assets
Cash $575.800
Building $400.000
TOTAL ASSETS $975.800
Liabilities
Dividends Payable $25.000
Notes Payable $360.000
TOTAL LIABILITIES $385.000
Equity
Retained Earnings $590.800
TOTAL EQUITY $590.800
Income Statement
Sales $380.000
Salaries Expenses -$296.400
Miscellaneous Expenses -$28.000
Net Income $55.600