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25-01-2020
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What line item flows from the statement of retained earnings to the balance sheet?

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25-01-2020

Answer:

Retained Earnings

Explanation:

The statement of retained earnings is prepared after preparing the income statement but before preparing the balance sheet. The reason behind this is that the statement of retained earnings is used to calculate the amount of retained earnings at the end of the period to be shown in the balance sheet.

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