Kathleen Battle says, “Retained earnings should be reported as an asset, since it is earnings which are reinvested in the business.” How would you respond to Battle?

College Accounting (Book Only): A Career Approach
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Chapter2: T Accounts, Debits And Credits, Trial Balance, And Financial Statements
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Problem 8DQ: What do we mean when we say that capital, drawing, revenue, and expense accounts are under the...
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Kathleen Battle says, “Retained earnings should be reported as an asset, since it is earnings which are reinvested in the business.” How would you respond to Battle?

 

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