Question

Fernwood Company is preparing the company's statement of cash flows for the fiscal year just ended. The following information is available: Retained earnings balance at the beginning of the year $ 278,000 Cash dividends declared for the year 61,250 Proceeds from the sale of equipment 104,800 Gain on the sale of equipment 5,850 Cash dividends payable at the beginning of the year 26,950 Cash dividends payable at the end of the year 34,500 Net income for the year 134,750 The ending balance in retained earnings is:

Answer 1

$351,500

Step-by-step explanation:

Particular Amount

Retained earnings balance at $278,000

the beginning of the year

Net income for the year $134,750

Cash dividends declared ($61,250)

for the year

Ending balance in retained earnings $351,500