Columbia Construction Company earned $497,000 during the year ended June 30, 2013. After paying out $225,794 in dividends, the balance went into retained earnings. If the firm's total retained earnings were $847,434, what were the retained earnings on its balance sheet on July 1, 2012?
Balance of retained earnings, July 1, 2012: $
Ending retained earnings=Beginning retained earnings+Net income-Dividends
847,434=Beginning retained earnings+497000-225794
Hence
Beginnning retained earnings=(847434+225794-497000)=$576,228.
Columbia Construction Company earned $497,000 during the year ended June 30, 2013. After paying out $225,794...