contestada

At the end of the year, retained earnings totaled $5,100. during the year, net income was $750, and dividends of $360 were declared and paid. retained earnings at the beginning of the year totaled:______.

Respuesta :

Retained earnings at the beginning of the year =$4,710

What are Retained Earnings?

Retained Earnings (RE) are the accumulated portion of a company's profits that are set aside for reinvestment rather than being paid out as dividends to shareholders. These monies are typically allocated for debt repayment or used for working capital and fixed asset purchases (capital expenditures). Retained Earnings (RE) are the accumulated portion of a company's profits that are set aside for reinvestment rather than being paid out as dividends to shareholders. These monies are typically allocated for debt repayment or used for working capital and fixed asset purchases (capital expenditures). Since retained earnings are recorded under shareholders' equity, which links the income statement and the balance sheet they serve as a valuable link between the two documents.

Beginning Period RE = End Period RE + Net Income/Loss – Cash Dividends – Stock Dividends

$5,100 - $750 + $360 = $4,710

To learn more about Retained earnings, visit:

https://brainly.com/question/14529006

#SPJ4

Otras preguntas