To Compute the Ending Balance of Retained Earnings

question 34

Multiple Choice

To compute the ending balance of retained earnings:

• A)the beginning balance in retained earnings will be negative for a new business.
• B)net loss for the period is subtracted from the beginning balance of retained earnings.
• C)dividends are added to the beginning balance of retained earnings.
• D)common stock sold during the period is added to the beginning balance of retained earnings.

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Definitions:

Program Requirement

A specification or condition that a software program must satisfy or achieve to be considered complete and functional.

Structure Diagram

A diagram that depicts the elements and their relationships within a system, data structure, or object in programming.

Algorithm

A step-by-step procedure or formula for solving a problem or performing a task, usually in the domain of computing and mathematics.

Top-Down Algorithm Development

A programming approach that begins with defining the high-level functions and then progressively breaking them down into smaller and more detailed steps.