Moringa products corporation had common stock of $820,000 and retained earnings of $1,250,000 on january 1. during the year, $75

Question

Colt1911 [192]

2 years ago

7

Moringa products corporation had common stock of $820,000 and retained earnings of $1,250,000 on january 1. during the year, $75

,000 of common stock was issued. dividends of $48,000 were paid. for the year ended december 31, moringa reported a net income of $287,500. what is the retained earnings balance on december 31

Business

1 answer:

blondinia [14] · Answer 1 · 2023-05-29T13:59:44+03:00

Based on the beginning retained earnings balance and the net income as well as dividends, the retained earnings balance will be $1,585,500.

<h3>How much are retained earnings on Dec. 31?</h3>

This can be found as:

= Beginning retained earnings + Net income + dividends paid

Solving gives:

= 1,250,000 + 287,500 + 48,000

= $1,585,500

Find out more on retained earnings at brainly.com/question/25998979.

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