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At December 31, 2019, the balance of Glasgow Ltd.s retained earnings account was $450,000. During 2020, the company had the following transactions: Acquired 5,000 treasury
At December 31, 2019, the balance of Glasgow Ltd.s retained earnings account was $450,000. During 2020, the company had the following transactions:
Acquired 5,000 treasury shares at $75 per share. The shares are no par value and had | |
originally been issued for $65 per share. There had been no previous treasury share transactions. | |
Net income for 2020 was $400,000. | |
Sold the 5,000 treasury shares at $80 per share. |
What is the balance in retained earnings at December 31, 2020?
| $850,000 |
| $775,000 |
| $762,500 |
| $900,000 |
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