1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
wlad13 [49]
3 years ago
13

Ken Young and Kim Sherwood organized Reader Direct as a corporation; each contributed $55,000 cash to start the business and rec

eived 4,000 shares of stock. The store completed its first year of operations on December 31, 2017. On that date, the following financial items for the year were determined: cash on hand and in the bank, $50,500; amounts due from customers from sales of books, $28,500; equipment, $54,000; amounts owed to publishers for books purchased, $9,000; one-year notes payable to a local bank for $5,250. No dividends were declared or paid to the stockholders during the year.
Assuming that Reader Direct generates net income of $6,000 and pays dividends of $3,600 in 2018, what would be the ending Retained Earnings balance at December 31, 2018?
This is the problem I have been given, and I've gotten to this point. I am just very confused on the Ending RE and Beginning RE.
So far I have
ENDING RE = BEG RE + Net Income- Dividends
________ = _______ + 6,000 - 3,600
Business
1 answer:
Talja [164]3 years ago
7 0

Answer:

The ending retained earning would be $2,400

Explanation:

For computing the ending retained earnings balance, we have to use the formula which is shown below:

Even in the question, the formula is given so we use it

Ending retained earnings = Beginning retained earnings + net income - dividend

Ending retained earnings = 0 + $6,000 - $3,600

In the question, the beginning retained earnings balance is not given so we assume zero balance

So, the ending retained earnings would be $2,400

You might be interested in
Explain and compare between administrative marketing and entrepreneurial marketing
Simora [160]
Business Orientation: While traditional marketing is defined by customer orientation, entrepreneurial marketing is defined by entrepreneurial and innovation orientation. ... Entrepreneurs interact with customers through activities like personal selling and relationship marketing.
Entrepreneurial Marketing: 6 Characteristics of Entrepreneurial Marketing
Proactive Orientation: ADVERTISEMENTS: ...
Innovativeness: ...
Focus on the Customer: ...
Utilizing an Opportunity: ...
Risk Management: ...
Value Creation: A contemporary definition that meets the present scope in which entrepreneurial marketing is defined as: “The proactive identification and exploitation of opportunities for acquiring and retaining profitable customers through innovative approaches to risk management, resource leveraging and value creation.” Traditional marketing has many facets. For instance, it includes tangible items like print ads in magazines or newspapers, business cards. It can also include commercials on radio or TV, posters, brochures and billboards. Anything except digital ways to promote your brand is traditional marketing. The four main sources of entrepreneurial marketing ideas are the new markets for existing products, new products, turning ideas into business opportunities and innovative approaches to existing markets.
3 0
3 years ago
The elements of the business environment include the:.
quester [9]

Answer:technological environment, economic and legal environment, competitive environment

Explanation:

5 0
3 years ago
Consider the following case: John Smith is a archaeologist with a Ph.D. He has excavated sites across much of South America and
STatiana [176]

According to the case, the use of Ph.D. on the ads for hair care products by John Smith is considered an example of the fallacy of inappropriate expertise.

The provided statement is true.

<h3>What is a fallacy?</h3>

A fallacy is an unlawful statement that is used by someone in stating any reasoning or argument which can even be harmful to society.

In the given case, John is having Ph.D. degree in the archaeology field, and his attempt to use the word Ph.D. on the haircare goods marketed by him would be a fallacy in respect of inappropriate expertise. The fallacy could be the use of the Ph.D. word on ads and the inappropriate expertise is that he doesn't have any knowledge regarding skincare and dermatology area.

Therefore, this may create a harmful effect on the individuals who are buying them as it is not authorized by a dermatologist.

Learn more about the fallacy in the related link:

brainly.com/question/2516239

#SPJ1

5 0
2 years ago
What is the term used to describe the dollar amount of a physical damage claim paid by the policyholder?A. Coinsurance clause.
Reika [66]

Answer:

C. Deductible.

Explanation:

Variable universal life insurance is insurance that provides permanent insurance coverage as whole life does; however the policyholder, not the insurance company, takes on the investment risk.

A Variable universal life insurance is a type of permanent life insurance policy which avails the holder the opportunity of investing the cash component of the plan (policy) for a much greater returns and as such the investment risk associated with the policy lies completely on the policy holder and not the insurance company.

Additionally, a group life insurance policy can be defined as a single contract plan that covers a group of people by providing life insurance coverage. An employer may opt for a group life insurance policy which would cover the lives of his or her employees.

Deductible is the term used to describe the dollar amount of a physical damage claim paid by the policyholder.

5 0
3 years ago
. Describe an example of a company that manufactures a product.
daser333 [38]
There are a huge range of companies that produce a huge range of products, some examples of these are;
Apple= iPod, iPhone, iPad, iMac, Macbook.
Samsung= Phones, Televisions, Laptops
Ford= Cars, Vans etc.
Rolex= Watches
Ralph Lauren= Men, Women and Children's clothes and accessories, Home and pet accessories.
Hope this helps and is what you were looking for 

5 0
3 years ago
Other questions:
  • Many people keep working long after retirement age because work:
    11·1 answer
  • A fixture is an object that formerly was personal property but has become real property. Of the following four rules for determi
    15·1 answer
  • On January 1 of the current year, Jimmy's Sandwich Company, Inc. reported stockholders' equity totaling $122,500. During the cur
    14·1 answer
  • The statement reflecting changes in permanently restricted, temporarily restricted and unrestricted net assets for a private sec
    13·1 answer
  • The Isberg Company just paid a dividend of $0.75 per share, and that dividend is expected to grow at a constant rate of 5.50% pe
    12·1 answer
  • Husker Corporation reports current E&amp;P of negative $200,000 in 20X3 and accumulated E&amp;P at the beginning of the year of
    14·1 answer
  • Japan must give up the production of 75 computers to produce 25 additional cellular telephones. The opportunity cost of producin
    15·1 answer
  • How might an interactive leader like Mary Barra communicate a policy change that impacts all GM employees from executive-level m
    10·1 answer
  • one of the tools available for measuring brand equity was developed by young &amp; rubicam. it is called the brand asset valuato
    5·1 answer
  • The accounts payable account is a/an_______ ___, and it has a normal.
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!