The effect of closing revenues and expenses to Retained Earnings will be to:

A) increase Retained Earnings by $50,000
B) decrease Retained Earnings by $50,000
C) increase Retained Earnings by $237,000
D) decrease Retained Earnings by $237,000

End-Of-Period Spreadsheet

A tool used in accounting to compile all balances and adjustments of an accounting period before preparing the final financial statements.

Retained Earnings

The portion of net income that is held by a company and not distributed to shareholders as dividends, used for investment or debt repayment.

Revenues

The complete earnings derived from transactions involving goods or services that are fundamental to an organization's core functions.