Andersen's Nursery has sales of $318,400,costs of $199,400,depreciation expense of $28,600,interest expense of $1,100,and a tax rate of 34 percent.The firm paid out $16,500 in dividends.What is the addition to retained earnings?

Question

Quizplus · Accepted Answer

Addition to retained earnings = [($318,400 - $199,400 - $28,600 - $1,100)(1 - 0.34)] - $16,500 = $42,438

Andersen's Nursery Has Sales of $318,400,costs of $199,400,depreciation Expense of $28,600,interest