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A company has 5-000 shares of $2 par value common stock and 2-500 shar.docx

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A company has 5,000 shares of $2 par value common stock and 2,500 shares of 7%, $120 par, noncumulative preferred stock outstanding. The balance in Retained Earnings at the beginning of the year was $550,000. The net loss for the current year was $41,250. If the company paid a dividend of $1.50 per share on its common stock, what is the balance in Retained Earnings at the end of the year? $562,750 Please show how you got the answer. Solution 550,000- 41.250- (5000)* 1.50 - (2500*120*.07)= 480,250 A) .

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A company has 5,000 shares of $2 par value common stock and 2,500 shares of 7%, $120 par,
noncumulative preferred stock outstanding. The balance in Retained Earnings at the beginning of
the year was $550,000. The net loss for the current year was $41,250. If the company paid a
dividend of $1.50 per share on its common stock, what is the balance in Retained Earnings at the
end of the year?
$562,750
Please show how you got the answer.
A company has 5,000 shares of $2 par value common stock and 2,500 shares of 7%, $120 par,
noncumulative preferred stock outstanding. The balance in Retained Earnings at the beginning of
the year was $550,000. The net loss for the current year was $41,250. If the company paid a
dividend of $1.50 per share on its common stock, what is the balance in Retained Earnings at the
end of the year?
$480,25
0
$550,000
$501,250
$619,750
$562,750
Please show how you got the answer.
Solution
550,000- 41.250- (5000)* 1.50 - (2500*120*.07)= 480,250 A)
A company has 5-000 shares of $2 par value common stock and 2-500 shar.docx

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A company has 5-000 shares of $2 par value common stock and 2-500 shar.docx

  • 1. A company has 5,000 shares of $2 par value common stock and 2,500 shares of 7%, $120 par, noncumulative preferred stock outstanding. The balance in Retained Earnings at the beginning of the year was $550,000. The net loss for the current year was $41,250. If the company paid a dividend of $1.50 per share on its common stock, what is the balance in Retained Earnings at the end of the year? $562,750 Please show how you got the answer. A company has 5,000 shares of $2 par value common stock and 2,500 shares of 7%, $120 par, noncumulative preferred stock outstanding. The balance in Retained Earnings at the beginning of the year was $550,000. The net loss for the current year was $41,250. If the company paid a dividend of $1.50 per share on its common stock, what is the balance in Retained Earnings at the end of the year? $480,25 0 $550,000 $501,250 $619,750 $562,750 Please show how you got the answer. Solution 550,000- 41.250- (5000)* 1.50 - (2500*120*.07)= 480,250 A)