Problem
Schumacher Company uses the perpetual inventory system, and it engaged in the following transactions during 2014:
1) Started the business by issuing common stock for $7,740 cash
2) Paid cash to purchase $5,080 of inventory
3) Sold inventory that cost $3,120 for $7,490 cash
4) Incurred and paid operating expenses, $258
Schumacher Company engaged in the following transactions during 2015:
1) Paid cash to purchase $6,000 of inventory
2) Sold inventory that cost $7,240 for $15,630 cash
3) Incurred and paid operating expenses, $516
What is the amount of Retained Earnings at December 31, 2015.