Question

Intel reports retained earnings at the end of fiscal 2018 of $35,477 million and retained earnings at the end of fiscal 2017 of $32,138 million. The company reported dividends of $4,479 million and other transactions with shareholders that reduced retained earnings during the year by $1,802 million. How much net income did the firm report in fiscal 2018?
A) $3,339 million net income
B) $3,339 million net loss
C) $9,620 million net income
D) $9,620 million net loss
E) None of the above

Answer 1

Answer:

net income  = $9620

so correct option C) $9,620 million net income

Explanation:

given data

retained earnings 2018 = $35,477 million

retained earnings 2017 = $32,138 million

dividends = $4,479 million

reduced retained = $1,802 million

to find out

net income did the firm report in fiscal 2018

solution

we get reduced due to dividend and other transaction  is

reduced due to dividend and other transaction = $4479 + $1802

reduced due to dividend and other transaction = $6281

net income = retained earnings - reduced due to dividend and other transaction  .............1

net income  = $35477 -$6281

net income  = $9620

so correct option C) $9,620 million net income