Question

Question Help E3-21A (book/static) Question Help Sentry Alarm, Inc., began the year with $19,000 of common stock and $22.600 of retained earnings. On June 5, investors bought $12,000 of additional stock in the business. On September 22, the business purchased land valued at $65,000. The income statement for the year ended December 31, 2018, reported a net loss of $10,800. During this fiscal year, the business paid $275 for dividends each month. Read the requirements. Requirement 1. Prepare Sentry Alarm's statement of retained earnings for the year ended December 31, 2018. (If a box is not used in the statement, leave the box emply, do not select a label or entor a zero.) Complete the statement of retained earnings. Sentry Alarm, Inc. Statement of Retained Earnings For the Year Ended December 31, 2018 Loss Choose from any list or enter any number in the input fields and then click Check Answer 4 part I remaining Clear All Check Answer

Answer 1

Sentry Alarm, Inc. Statement of Retained Earnings For the year ended December 31, 2018 $ 22,600 Beginning Balance Less : Net Loss Dividend Ending Balance $ $ (10,800) (3,300) $ $ (14,100) 8,500 Note : Dividend = $ 275*12 months = $ 3300. During the year, the retained earnings of the business decreased. The reason to decrease retained earnings in curent year is, business incurred loss during the year and payment dividend.