Ullrich Printing Inc

question 31

Multiple Choice

Ullrich Printing Inc.paid out $21, 750 of common dividends during the year.It ended the year with $187, 500 of retained earnings versus the prior year's retained earnings of $132, 250.How much net income did the firm earn during the year?

• A) $77, 000
• B) $80, 850
• C) $84, 893
• D) $89, 137
• E) $93, 594

---

Definitions:

Interest-Bearing Note

A debt instrument that pays interest to the holder at a fixed or variable interest rate until the principal amount is repaid.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the correct period.

Interest Expense

The expense recorded by a business for the funds it has borrowed, categorized as a non-operating expense in the income statement.

Interest-Bearing Note

A debt instrument that obligates the issuer to pay interest to the holder, in addition to repaying principal at maturity.