Turquoise and Topaz Sisters had retained earnings of $20,000 on the statement of financial position but disclosed in the footnotes that $2,000 of retained earnings was restricted for plant expansion and $1,000 was restricted for bond repayments. Cash of $2,000 had been set aside for the plant expansion. How much of retained earnings is available for dividends?
A) $17,000
B) $18,000
C) $20,000
D) $15,000
Correct Answer:
Verified
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