a-company-reports-a-net-loss-of-15000-how-does-this-affect-the-retained-earnings

Question

A company reports a net loss of $15,000. How does this affect the retained earnings account?

Accepted Answer

Retained earnings decrease by $15,000.

Answer

Retained earnings increase by $15,000.

Answer

Retained earnings are converted into cash.

Answer

Retained earnings remain unchanged.

A company reports a net loss of \$15,000. How does this affect the retained earnings account?