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To solve the problem of determining the ending balance in Retained Earnings after closing entries, we'll follow these steps:

1. **Start with the beginning balance in Retained Earnings**, which is provided as **$10,600**.
2. **Add the revenues** (since revenues increase Retained Earnings):
   - Service Revenue: **$36,800**
3. **Subtract the expenses** (since expenses decrease Retained Earnings):
   - Salary Expense: **$26,100**
   - Insurance Expense: **$2,500**
   - Depreciation Expense: **$2,400**
   - Interest Expense: **$1,240**
4. **Subtract Dividends**, which also reduce Retained Earnings: **$3,300**

### Now, let’s calculate it step by step:

**Beginning Retained Earnings:**
\[
10,600
\]

**Add Service Revenue:**
\[
10,600 + 36,800 = 47,400
\]

**Subtract all expenses:**
\[
47,400 - 26,100 - 2,500 - 2,400 - 1,240 = 15,160
\]

**Subtract Dividends:**
\[
15,160 - 3,300 = 11,860
\]

So, the ending balance in Retained Earnings after closing entries is **$11,860**.

This answer isn't directly listed among the options, so please double-check the values and the options provided. The answer closest to this is **$11,860**.

Let me know if you would like more details or have any questions!

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Here are 5 related questions:
1. What is the purpose of the Retained Earnings statement in financial accounting?
2. How do closing entries affect the income statement and balance sheet accounts?
3. What is the impact of dividends on Retained Earnings?
4. How do expenses influence the net income calculation?
5. Why is Service Revenue added to Retained Earnings?

**Tip:** Always verify whether dividends are explicitly subtracted from Retained Earnings, as it directly affects the final balance.

What is the ending balance in Retained Earnings after the closing entries are completed?

Learn how to calculate the ending balance in Retained Earnings for Moore Company by using their adjusted trial balance. Follow the step-by-step solution that adds revenues, subtracts expenses, and accounts for dividends.

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