Quartz Instruments had Retained Earnings of $145,000 at December 31,2018.Net income for 2019 was $90,000,and dividends for 2019 were $30,000.What amount of Retained Earnings should be reported at December 31,2019?
A)$205,000
B)$235,000
C)$140,000
D)$175,000

Question

Quizplus · Accepted Answer

Ending Retained Earnings = Beginning Retained Earnings + Net income − Dividends
= $145,000 + $90,000 − $30,000 = $205,000

Quartz Instruments Had Retained Earnings of $145,000 at December 31,2018