Shareholders of Augusta Corporation Have Received $35,000 in Dividends in the Current

question 29

Multiple Choice

Shareholders of Augusta Corporation have received $35,000 in dividends in the current year.At year end the corporation has total assets of $500,000, total liabilities equal to $300,000, and contributed capital totaling $100,000.If retained earnings at the beginning of the year was $80,000, what was Augusta's net income for the current year?

• A)$80,000
• B)$215,000
• C)$55,000
• D)$10,000
• E)$45,000

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Definitions:

Commission Charges

Fees that are paid to an agent or service provider as compensation for facilitating transactions or services, typically calculated as a percentage of the sale price.

Proceeds

The total amount of money received from a transaction or event, such as the sale of assets or issuance of stock.

Commission Charges

Fees paid to agents or brokers for their services in facilitating transactions, usually calculated as a percentage of the transaction value.

Total Cost

The complete amount of money spent on a project or product, including all associated expenses such as manufacturing, labor, materials, and overhead.