Answered step by step
Verified Expert Solution
Question
1 Approved Answer
At the beginning of 2021, Vaughn Manufacturing had retained earnings of $330000. During the year Vaughn reported net income of $74200, sold treasury stock at
At the beginning of 2021, Vaughn Manufacturing had retained earnings of $330000. During the year Vaughn reported net income of $74200, sold treasury stock at a gain of $26000, declared a cash dividend of $44600, and declared and issued a small stock dividend of 1580 shares ($10 par value) when the fair value of the stock was $32 per share. The amount of retained earnings available for dividends at the end of 2021 was:
a. $332740.
b. $361180.
c. $309040.
d. $23200.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started