Bagwell's net income for the year ended December 31, Year 2 was $190,000. Information from Bagwell's comparative balance sheets is given below. Compute the cash paid for dividends during Year 2.
|
At December 31
|
Year 2
|
Year 1
|
|
Common Stock, $5 par value
|
$
|
505,000
|
$
|
454,500
|
|
Paid-in capital in excess of par
|
|
953,000
|
|
857,500
|
|
Retained earnings
|
|
693,000
|
|
586,500
|
a) $146,000
b) $83,500
c) $95,500
d) $50,500
e) $106,500