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4vir4ik [10]
3 years ago
12

Crawford Company started the year with $60,000 in its Common Stock account and a credit balance in Retained Earnings of $44,000.

During the year, the company earned net income of $48,000 and declared and paid $20,000 of dividends. In addition, the company sold additional common stock amounting to $28,000. As a result, the amount of its retained earnings at the end of the year would be
a. $160,000
b. $72,000
c. $132,000
d. $100,00
Business
1 answer:
umka2103 [35]3 years ago
7 0

Answer:

b. $72,000

Explanation:

Retained EarningEnding Balance = Opening Balance of retained earning + net income - Dividend Declared

Retained EarningEnding Balance = $44,000 + $48,000 - $20,000

Retained EarningEnding Balance = $44,000 + $48,000 - $20,000

Retained EarningEnding Balance = $72,000

The issue of common stock will not effect retained earning account balance It will be credited to common stock account and add-in-capital common stock account.

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Answer:

$898.54

Explanation:

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Using the Financial Calculator, Input elements will be as follows :

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Fv = $1,000

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3 years ago
Prior to any trip it is important to do all of these except:
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4 years ago
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Answer:

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Classical economists like Adam Smith, David Ricardo, and Jean-Baptiste Say created the theoretical framework for market economies. These traditional liberal proponents of the free market thought that the "invisible hand" of the profit motive and market incentives typically led economic decisions in directions that were more productive and efficient than government economic planning.

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