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View Full Version : Retained Earnings Computation


lmann0212
Dec 8, 2007, 12:38 AM
I have total Assets of $34,500 and liabilities of $22,900. I am supposed to list the Capital as well as the Retained earnings.

I know that equity = assets - liabilities and that my Equity + Liabilities should equal my Assets, but how do I determine how much of my equity gets placed in Retained earnings and how much is capital?

CaptainForest
Dec 8, 2007, 01:43 PM
Without more information, there is no way to figure out how to split the equity between capital and retained earnings