McKinney Corporation had beginning retained earnings of $2,242,000 and ending retained earnings of $2,499,000. During the year t

Question

3 years ago

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McKinney Corporation had beginning retained earnings of $2,242,000 and ending retained earnings of $2,499,000. During the year t

hey issued common stock totalling $141,000. No dividends were paid. What was their net income for the year?a) $257,000b) $116,000c) $398,000d) $323,000

Mathematics

1 answer:

xenn [34] · Answer 1 · 2022-05-06T03:05:09+03:00

xenn [34]3 years ago

5 0

Answer: A. $257,000.

Step-by-step explanation:

<h2>Since the company did not issue dividends the formula for calculating its net income is Ending Retained Earnings minus the Beginning Retained Earnings</h2>

$2,242,000 - 2,242,000 = $257,000.