Question

Ivan's, Inc., paid $474 in dividends and $582 in interest this past year. Common stock increased by $192 and retained earnings decreased by $118. What is the net income for the year?

Answer 1

$356

Step-by-step explanation:

Ivan incorporation paid $474 in dividend

$582 was paid in interest

Common stock increased by $192

Retained earnings decreased by $118

Therefore the net income for the year can be calculated as follows

= Dividend - decrease in retained earnings

= $474-$118

= $356

Hence the net income for the year is $356