If There Was No Beginning Retained Earnings, Net Income of $30,300

question 63

Multiple Choice

If there was no beginning retained earnings, net income of $30,300, and ending retained earnings of $8,000, how much were dividends?

• A) $38,300
• B) $22,300
• C) $6,000
• D) $8,000

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Definitions:

Corporate Records

Documents and records that a corporation is legally required to maintain, usually including incorporation papers, bylaws, meeting minutes, and financial statements.

Compensation

Payment or reward given for services rendered, loss incurred, or for the performance of duties or responsibilities.

Board of Directors

A group of individuals elected by shareholders to make major decisions and oversee the management of a corporation.

Shares of Stock

Units of ownership in a corporation that represent a claim on a portion of the corporation's assets and earnings.