Tiffin Company had retained earnings of $50,000 at the end of last year.For the current year,income was $20,000 and dividends $15,000.What is the balance in retained earnings at the end of the current year?
A)$85,000
B)$45,000
C)$55,000
D)$60,000
E)none of the answers are correct

Question

Quizplus · Accepted Answer

Retained Earnings = Beginning Retained Earnings + Net Income - Dividends
Retained Earnings = $50,000 + $20,000 - $15,000 = $55,000

Tiffin Company Had Retained Earnings of $50,000 at the End