Gce Model Questions Vol1 2019 Financial Accounting Question 44

A company reported the following figures for the year ended 31 December:\n- Share capital (ordinary): £\(40,000\)\n- Share premium: £\(5,000\)\n- Revaluation surplus on land (recorded in OCI): £\(4,000\)\n- Opening retained earnings: £\(12,000\)\n- Net profit for the year: £\(9,000\)\n- Dividend declared: £\(3,000\)\nNon‑current assets:\n- Plant cost £\(30,000\); accumulated depreciation at the beginning of the year £\(6,000\); depreciation rate 20 % per annum.\n- Land revalued to £\(22,000\) (original cost £\(18,000\)).\nCurrent assets:\n- Stock £\(8,000\)\n- Debtors £\(5,500\)\n- Cash £\(2,200\)\nCurrent liabilities:\n- Creditors £\(4,800\)\n- Bank overdraft £\(1,500\)\nAssuming depreciation for the year is charged on plant and the revaluation surplus is not transferred to retained earnings, calculate the retained earnings figure that will appear in the statement of financial position.