A Corporation Began the Current Year with $250,000 of Unappropriated

question 133

Short Answer

A corporation began the current year with $250,000 of unappropriated retained earnings.During the current year it earned $120,000 of net (after-tax) income,declared $75,000 of cash dividends,paid $50,000 of the cash dividends and purchased treasury stock costing $40,000.Calculate the current year-end balance in retained earnings.

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Definitions:

Medication

Substances used to diagnose, treat, cure, or prevent illnesses or diseases.

Kilograms

A unit of mass in the metric system, equal to one thousand grams and used worldwide as a standard for quantifying mass in many contexts.

Weigh

The action of determining the mass or weight of an object using scales or other measuring instruments.

Compound Journal Entry

A journal entry that affects more than two accounts.