Retained Earnings Had a Balance on January 1, 2011 and December

question 123

Multiple Choice

Retained Earnings had a balance on January 1, 2011 and December 31, 2011, respectively, of $255,300 and $413,000. Net income for the year was $188,700 and the only other event affecting Retained Earnings was the declaration of dividends. If there was no change in the Dividends Payable account during the year, the payments for dividends:

• A)were $376,000.
• B)were $31,000.
• C)were $38,000.
• D)cannot be determined from the information given.