If I have the assets, liabilities and capital stock figures, how can I use these figures to find the retained earning figure?
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If I have the assets, liabilities and capital stock figures, how can I use these figures to find the retained earning figure?
The following link should help you out
Online Accounting Course | Accounting Equation
Assets = Liabilities + Owner's Equity
Owner's Equity = Assets – Liabilities
Also, Owner's Equity = Capital Stock + Retained Earnings
So,
Capital Stock + Retained Earnings = Assets – Liabilities
Retained Earnings = Assets – Liabilities – Capital Stock
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