Packard Company Engaged in the Following Transactions During Year 1

question 115

Multiple Choice

Packard Company engaged in the following transactions during Year 1, its first year of operations: (Assume all transactions are cash transactions.) 1) Acquired $950 cash from the issue of common stock.2) Borrowed $420 from a bank.3) Earned $650 of revenues.4) Paid expenses of $250.5) Paid a $50 dividend. During Year 2, Packard engaged in the following transactions: (Assume all transactions are cash transactions.) 1) Issued an additional $325 of common stock.2) Repaid $220 of its debt to the bank.3) Earned revenues of $750.4) Incurred expenses of $360.5) Paid dividends of $100.What was the balance of Packard's Retained Earnings account before closing in Year 1?

• A)$400
• B)$0
• C)$350
• D)$450

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Definitions:

Methyl-β-D-Talopyranoside

A chemical compound that is a methyl glycoside derived from the β-anomer of D-talopyranose.

Chair Form

A specific, stable conformation of cyclohexane that minimizes steric strain, resembling a chair.

D-Talose

A type of sugar, specifically a monosaccharide, that is part of the aldohexose family and is known for its optical activity.

Methyl β-D-Talopyranoside

A methyl glycoside formed from the β-D-Talopyranose form of talose, demonstrating how sugars can be chemically modified to glycosides.