Ribbon Industries Reported Sales of $3 Million and Net Income

question 106

Multiple Choice

Ribbon Industries reported sales of $3 million and net income of $400,000 for 2010.The retained earnings balance at the end of 2012 is $7 million.Ribbon Industries has a dividend payout ratio of 30%.If sales are expected to increase by 25% next year,what will be the projected balance in retained earnings using the percent of sales method?

• A) $7,280,000
• B) $6,720,000
• C) $7,350,000
• D) $8,750,000

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Androgynous Girl

A female individual exhibiting both traditional masculine and feminine characteristics or a gender expression that does not fit neatly into conventional sex distinctions.

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