Retained Earnings Adjustment is a business tool that allows companies to adjust their earnings data. This adjustment is made in order to reflect changes in the ownership of the company and its assets, as well as any other changes that may have occurred throughout the year. It’s an important part of maintaining accurate financial records, as it ensures that the information being used in a business’ financial reports is up-to-date and valid. Put simply, Retained Earnings Adjustment helps businesses keep their books in order. By tracking and adjusting their records each year, businesses can make sure they’re staying on top of all their finances – ensuring their success for the future!