Problem:
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.
Required:
Question: What is the addition to retained earnings?
a. $36,909
b. $47,615a
c. $44,141
d. $47,208
e. $42,438
Note: Provide support for rationale.