Biglo Chemical Company Reported the Following in the Statement of Comprehensive

question 96

Multiple Choice

Biglo Chemical Company reported the following in the statement of comprehensive income for the year ended December 31: During the year,the company paid $65,000 in dividends and purchased treasury stock with a par value of $10,000 at a cost of $70,000.If the balance of Retained Earnings at the beginning of the year was $3,700,000,what is the balance of Retained Earnings at the end of the year?

• A)$4,005,000
• B)$3,985,000
• C)$3,935,000
• D)$3,915,000

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Definitions:

Support Department Costs

Expenses incurred by departments that do not directly produce goods or services but provide essential support to production departments.

Investment Center

A business unit within an organization that is directly responsible for generating revenue as well as controlling its costs and investments.

Support Departments

Departments within a business that provide essential services and support to the primary operations but do not directly generate revenue.

Production Department Rates

Production Department Rates refer to the varying costs associated with different phases or sectors within the production process, aimed at analyzing efficiency and cost-effectiveness.