Parker Company has a balance of $25,000 in retained earnings on January 1, 2009. During 2009, Parker

Question:

Parker Company has a balance of $25,000 in retained earnings on January 1, 2009. During 2009, Parker reported revenues of $60,000 and expenses of $47,000. Parker also paid a dividend of $8,000.

Required:

What is the amount of retained earnings on December 31, 2009?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...