Answer:
Net income: $
Revenue 140,000
Expenses (50,000)
Dividend paid <u> (70,000)</u>
Net income <u> </u><u>20,000</u><u> </u>
Net income is the amount of increase in stockholders' equity.
Explanation:
Net income is the excess of revenue over expenses and dividend. A positive net income increases the stockholders' equity. Common stockholders are legal owners of a company, thus, any income not distributed as dividend increases their equity.
Brennan Manufacturing monitors the number of customer returns for each product model to attempt to track when the organization is producing a large number of defective products. This is an example of: Feedback control.
$250000-$100000=$150000
$150000-$120000=$30000
So it's a gain, a gain of $30000
Hope this helps.
