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15 January, 16:58

Sharidan Company began the year with retained earnings of $659000. During the year, the company recorded revenues of $600000, expenses of $380000, and paid dividends of $141500. What was Sheridan retained earnings at the end of the year?

a - $1131500

b - $600000

c - $1017500

d - $ 737500

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  1. 15 January, 17:18
    0
    d - $737,500

    Explanation:

    Retained Earnings = Beginning Period Retained Earnings + Profit - Cash Dividends

    Profit = Revenues - Expenses = $600,000 - $380,000 = $220,000

    Retained Earnings = Beginning Period Retained Earnings + Profit - Cash Dividends

    Retained Earnings = $695,000 + $220,000 - $141500

    Retained Earnings = $773,500
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