The Following Information Applies to the Questions Displayed Below

question 93

Multiple Choice

The following information applies to the questions displayed below
Packard Company engaged in the following transactions during Year 1, its first year of operations: (Assume all transactions are cash transactions.)

1) Acquired $950 cash from the issue of common stock.
2) Borrowed $420 from a bank.
3) Earned $650 of revenues.
4) Paid expenses of $250.
5) Paid a $50 dividend.

During Year 2, Packard engaged in the following transactions: (Assume all transactions are cash transactions.)

1) Issued an additional $325 of common stock.
2) Repaid $220 of its debt to the bank.
3) Earned revenues of $750.
4) Incurred expenses of $360.
5) Paid dividends of $100.

-What is the after-closing amount of retained earnings that will be reported on Packard's balance sheet at the end of Year 2? (Assume that closing entries have been passed) .

• A)$640
• B)$800
• C)$290
• D)$740

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Definitions:

Blood Samples

Specimens of blood collected for analysis or testing for medical purposes.

First Serves

In tennis, the initial serve attempt in a point, which must land in the diagonally opposite service box to be considered valid; if unsuccessful, it's followed by a second serve.

Probability

The mathematical likelihood of an event happening, often expressed as a fraction or percentage.

Independent Events

Two or more events where the occurrence or non-occurrence of one does not affect the occurrence of the other(s).