Company AZ began the year with 400,000 shares of $1 par common stock and retained earnings of $2,000,000. Early in the year, Company AZ declared and distributed a 40% stock dividend when shares were trading at $6 per share. Near the end of the year, Company AZ declared a cash dividend of $0.50 per share, payable in the following year. Company AZ's end of the year retained earnings balance was:
a. $1,720,000
b. $1,640,000
c. $1,560,000
d. $760,000
e. None of the above
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Company AZ began the year with 400,000 shares of $1 par common stock and retained earnings...
Laslow, Inc. began the year with a balance in retained earnings of $21,000 and 50,000 shares of $1 par common stock outstanding. During the year, the company reported sales of $122,500, expenses of $101,000, and declared and paid a $0.20 per share cash dividend. The Company repurchased 10,000 shares of its common stock on the 1st day of the year. The Company is authorized to issue 60,000 shares of common stock. How much is the balance in the Retained Earnings...
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