Caterpillar Inc. reports a net loss for 2016 of $(67) million, retained earnings at the end of the year of $27,377 million, and dividends during the year of $1,802 million.
What was the company's retained earnings balance at the start of 2016?
A) $29,246 million
B) $30,361 million
C) $28,065 million
D) $26,572 million
E) There is not enough information to calculate the amount.

Question

Quizplus · Accepted Answer

To find the retained earnings at the start of 2016, add the net loss and dividends to the retained earnings at the end of the year: $27,377 million + $67 million + $1,802 million = $29,246 million.