Lena Company Has Provided the Following Data for Its 2019

question 81

Multiple Choice

Lena Company has provided the following data for its 2019 operations (ignore income taxes) : 2019 revenues were $99,000.
2019 expenses were $47,800.
Dividends declared and paid during 2019 totaled $9,500.
Total assets at December 31,2019 were $177,000.
Total liabilities at December 31,2019 were $89,000.
Common stock at December 31,2019 was $28,000.
Which of the following is correct?

• A)2019 net income was $41,700.
• B)Total stockholders' equity at December 31,2019 was $236,000.
• C)Retained earnings at December 31,2019 were $60,000.
• D)Retained earnings at December 31,2019 were $41,700.

---

Definitions:

Net Capital Outflow

The difference between the domestic country's total investment abroad and foreign investments within the domestic country.

Argentinean Government

The government or political leadership of Argentina, a country located in South America.

Default

Failure to repay a loan according to the agreed terms.

Open-Economy Macroeconomic

The study of macroeconomic variables and policies in the context of an economy that interacts freely with other economies, focusing on issues like trade balances and exchange rates.