Question

This Question: 1 pt 8 of 15 (7 complete) TMS Ca pis pus Salem Instruments had retained earnings of $345,000 at December 31, 2015. Net income for 2016 totaled $195,000, and dividends for 2016 were $65.,000. How much retained esmings should Salem report at December 31, 2016? A. $410,000 OB. $345.000 OC 5475.000 Du OD. $540.000

Answer 1

Answer: $475,000

Explanation

Ending Retained Earnings Calculation
	$
Beginning Retained earnings	345,000.00
Add: Net income	195,000.00
Less: Dividends	(65,000.00)
Ending Retained earnings	475,000.00