Compute the year end retained earnings balance


Problem:

The Dayton Corporation began the current year with a retained earnings balance of $14,934. During the year, the company corrected an error made in the prior year, which was a failure to record depreciation expense of $3,108 on equipment. Also, during the current year, the company earned net income of $10,270 and declared cash dividends of $5,884.

Required:

Question: Compute the year end retained earnings balance.

Select the correct answer.

  • $14,934
  • $19,320
  • $16,212
  • $34,196

Note: Please show the work not just the answer.

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Accounting Basics: Compute the year end retained earnings balance
Reference No:- TGS0881911

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