23. An arrangement has been made with the local bank that if CamDrone maintains a minimum balance of $50,000 in their bank account, they will be given a line of credit at a preferred rate of 3% per annum (0.25% per month). All borrowing is considered to happen on the first day of the month, repayments are on the last day of the month. All borrowings and repayments from the bank should be in multiples of $10,000 and interest must be paid at the end of each month. Interest is calculated on the balance at the beginning of the month, which includes any amounts borrowed that month.

24. CamDrone has a policy of paying dividends at the end of each quarter. The President tells you that the Board of Directors is planning on declaring dividends as follows

March 2020 $50,000

June 2020 $100,000

September 2020 $250,000

December 2020 $250,000

Dividends are paid in the month they are declared.

How to caculated the Dividends Declared? Thanks

Cam Drone Budgeted Income Statement For the year ended , 2020 $ Sales Less: Cost of Goods Sold 7 Gross Margin 8 Less: Selling & Administrative Expenses 9 Net Operating Income 10 Less: Interest Expense 11 Net Income Before Taxes (NIBT) Less: Income Taxes (0%) 13 Net Income 1,800,000 25,123 1,825,123 2,818,956 4,644,079 4,644,079 6,250 4,650,329 $ Cam Drone Budgeted Statement of Retained Earnings For the year ended, 2020 Budae 19 Retained Earnings (Beginning of Year) 20 Plus: Net Income $ 1,232,589 4,650,329 5,882,918 22 Less: Dividends Declared 23 Retained Earnings (End of Year) $ 5,882,918