For the year ended December 31, 2017, Transformers Inc. reported the following: Net Income $305068 Preferred...

For the year ended December 31, 2017, Transformers Inc. reported the following:

Net Income	$305068
Preferred dividends paid	54210
Common dividends paid	9619
Unrealized holding loss, net of tax	3543
Retained Earnings, beginning balance	389503
Common Stock	177628
Accumulated Other Comprehensive Income, beginning balance	22896

What would Transformers report as the ending balance of Retained Earnings?

Expert Solution

One can prepare Statement of Stockholder’s Equity to find the Ending Balance of Retained earnings.

	Common Stock	Retained Earnings	Accumulated Other Comprehensive Income	Total Stockholder's Equity
Beginning Balance	$ 177,628.00	$ 389,503.00	$ 22,896.00	$ 590,027.00
Add: Net Income		$ 305,068.00	$ -	$ 305,068.00
Less: Dividends				$ -
Preferred Dividend		$ 54,210.00		$ 54,210.00
Common Dividend		$ 9,619.00		$ 9,619.00
Less: Unrealized Holding Loss			$ 3,543.00	$ 3,543.00
Ending Balance	$ 177,628.00	$ 630,742.00	$ 19,353.00	$ 827,723.00

Answer: Ending balance of Retained earnings = $ 630,742

ekkarill92 answered 8 months ago

In its income statement for the year ended December 31, 2017, Sandhill Co. reported the following...

In its income statement for the year ended December 31, 2017, Sandhill Co. reported the following condensed data. Salaries and wages expenses $697,500 Loss on disposal of plant assets $ 125,250 Cost of goods sold 1,480,500 Sales revenue 3,315,000 Interest expense 106,500 Income tax expense 37,500 Interest revenue 97,500 Sales discounts 240,000 Depreciation expense 465,000 Utilities expense 165,000 Prepare a multiple-step income statement. Calculate the profit margin and gross profit rate. (Round answers to 1 decimal place, e.g. 15.2%.) Profit...

In its income statement for the year ended December 31, 2017, Ivanhoe Company reported the following...

In its income statement for the year ended December 31, 2017, Ivanhoe Company reported the following condensed data. Salaries and wages expenses $558,000 Loss on disposal of plant assets $ 100,200 Cost of goods sold 1,184,400 Sales revenue 2,652,000 Interest expense 85,200 Income tax expense 30,000 Interest revenue 78,000 Sales discounts 192,000 Depreciation expense 372,000 Utilities expense 132,000 (a) Prepare a multiple-step income statement. (List other revenues before other expenses.) IVANHOE COMPANY Income Statement For the Month Ended December 31,...

The income statement of Redman Inc. for the year ended December 31, 2020, reported the following...

The income statement of Redman Inc. for the year ended December 31, 2020, reported the following condensed information: Service revenue $ 600,000 Operating expenses 360,000 Income from operations 240,000 Income tax expense 60,000 Net income $180,000 Redman's statement of financial position contained the following comparative data at December 31: 2020 2019 Accounts receivable $65,000 $40,000 Accounts payable 40,000 55,000 Income taxes payable 6,000 3,000 Redman has no depreciable assets. Accounts...

The income statement of Packer Inc. for the year ended December 31, 2018, reported the following...

The income statement of Packer Inc. for the year ended December 31, 2018, reported the following condensed information: Revenue from fees..................................... $585,000 Operating expenses................................... 340,000 Income from operations.............................. 245,000 Income tax expense................................... 61,250 Net income................................................. $183,750 Packer's statement of financial position contained the following comparative data at December 31: 2018 2017 Accounts receivable................................... $52,500 $45,000 Accounts payable....................................... 34,000 41,000 Income taxes payable................................. 5,500 3,000 The corporation has no depreciable assets. Accounts payable pertain to operating expenses. Instructions: Using the direct...

For the year ended December 31, 2021, Norstar Industries reported net income of $655,000. At January...

For the year ended December 31, 2021, Norstar Industries reported net income of $655,000. At January 1, 2021, the company had 900,000 ordinary shares outstanding. The following changes in the number of shares occurred during 2021: April 30 Sold 60,000 shares in a public offering. May 24 Declared and distributed a bonus issue of 5%. June 1 Issued 72,000 shares as part of the consideration for the purchase of assets from a subsidiary. Required: Compute Norstar's earnings per share for...

For the year ended December 31, 2018, Norstar Industries reported net income of $655,000. At January...

For the year ended December 31, 2018, Norstar Industries reported net income of $655,000. At January 1, 2018, the company had 900,000 common shares outstanding. The following changes in the number of shares occurred during 2018: Apr. 30 Sold 60,000 shares in a public offering. May 24 Declared and distributed a 5% stock dividend. June 1 Issued 72,000 shares as part of the consideration for the purchase of assets from a subsidiary. Required: Compute Norstar's earnings per share for...

Ringmeup Inc. had net income of $112,800 for the year ended December 31, 2019. At the...

Ringmeup Inc. had net income of $112,800 for the year ended December 31, 2019. At the beginning of the year, 36,000 shares of common stock were outstanding. On May 1, an additional 14,000 shares were issued. On December 1, the company purchased 4,800 shares of its own common stock and held them as treasury stock until the end of the year. No other changes in common shares outstanding occurred during the year. During the year, Ringmeup paid the annual dividend...

Ringmeup Inc. had net income of $102,700 for the year ended December 31, 2019. At the...

Ringmeup Inc. had net income of $102,700 for the year ended December 31, 2019. At the beginning of the year, 36,000 shares of common stock were outstanding. On May 1, an additional 12,000 shares were issued. On December 1, the company purchased 4,500 shares of its own common stock and held them as treasury stock until the end of the year. No other changes in common shares outstanding occurred during the year. During the year, Ringmeup paid the annual dividend...

Ringmeup, Inc., had net income of $137,200 for the year ended December 31, 2016. At the...

Ringmeup, Inc., had net income of $137,200 for the year ended December 31, 2016. At the beginning of the year, 39,000 shares of common stock were outstanding. On May 1, an additional 16,000 shares were issued. On December 1, the company purchased 4,700 shares of its own common stock and held them as treasury stock until the end of the year. No other changes in common shares outstanding occurred during the year. During the year, Ringmeup, Inc., paid the annual...

Perry Corporation reported net income of $136,200 for the year ended December 31, 2021. January 1...

Perry Corporation reported net income of $136,200 for the year ended December 31, 2021. January 1 balances in accounts receivable and accounts payable were $28,800 and $27,400, respectively. Year-end balances in these accounts were $30,500 and $22,700, respectively. Assuming that all relevant information has been presented, Perry's cash flows from operating activities would be: Multiple Choice $137,900. $76,900. $142,600. $129,800.

Question