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The Income Statement for Hudson Company Reported Net Income of $345,000

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Essay

The income statement for Hudson Company reported net income of $345,000 for the year ended December 31, 2012 before considering the following:
During the year the company purchased trading securities. At year end, the fair value of the investment portfolio was $23,000 less than cost.
The balance of retained earnings was $823,000 on December 31, 2011. Hudson Company paid $43,000 in cash dividends in 2012. Calculate the balance of retained earnings on December 31, 2012.

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Definitions:

Binge Eating Disorder

An eating disorder characterized by recurring episodes of eating large quantities of food in a short period, often to the point of discomfort, but without subsequent purging behaviors.

Bulimia Nervosa

An eating disorder characterized by binge eating followed by purging to try and rid the body of unwanted calories.

Anorexia

An eating disorder characterized by an abnormally low body weight, intense fear of gaining weight, and a distorted perception of body weight or shape.

Bulimia

An eating disorder marked by binge eating followed by purging to prevent weight gain, often through vomiting or using laxatives.

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