Draft financial statements for a company indicated a retained earnings balance of $170000 at the year end. The following information was then uncovered. 1 An irrecoverable debt of $25000 ought to have been written off. 2 An ordinary share dividend, $30000, had been paid but left unrecorded. 3 Closing inventory had been undervalued by $15000. What should the correct balance of retained earnings be at the year end?
- A$100000
- B$125000
- C$130000
- D$185000