The First Year of Operations for a Company Was Year

question 133

Multiple Choice

The first year of operations for a company was Year 1.The net income for Year 1 was $20,000 and dividends of $12,000 were paid.In Year 2,the company reported net income of $34,000 and paid dividends of $5,000.At the end of Year 1,the company had total assets of $150,000.At the end of Year 2,the company had total assets of $240,000. What was the amount of retained earnings at the end of Year 1?

• A)$20,000
• B)$8,000
• C)$150,000
• D)$155,000

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Definitions:

Urban Life

Aspects and characteristics of living in densely populated, highly developed areas known as cities or towns.

Sociologists

Researchers in the social sciences focusing on the examination of human societal structures, their interrelations, and the dynamic processes that maintain or alter these structures.

Preindustrial Cities

Urban areas that existed before the widespread industrialization, characterized by limited technological development and simpler forms of social organization.

Industrial Cities

Urban centers that developed during and after the industrial revolution, characterized by the concentration of factories and mass production.