During fiscal year-end 2016, Kohl's Corporation reports the following (in $ millions): net income of $556, retained earnings at the end of the year of $12,522 and retained earnings at the beginning of the year of $12,329. Assume that there were no other retained earnings transactions during fiscal 2016.
What dividends did the firm pay in fiscal year ended January 28, 2017?
A) $ 683 million
B) $ 1,669 million
C) $ 363 million
D) $-0-
E) There is not enough information to calculate the amount.

Question

Quizplus · Accepted Answer

The dividends paid can be calculated by starting with the retained earnings at the beginning of the year, adding net income, and then subtracting the retained earnings at the end of the year. So, $12,329 million + $556 million - $12,522 million = $363 million.

During Fiscal Year-End 2016, Kohl's Corporation Reports the Following (In