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Consider the following balance sheet data for Steves Music Stores: Cash & equivalents $ 60,000 Accounts payable $ 146,000 Accounts receivable 133,000 Notes payable 179,500
Consider the following balance sheet data for Steves Music Stores:
Cash & equivalents | $ | 60,000 | Accounts payable | $ | 146,000 | |
Accounts receivable | 133,000 | Notes payable | 179,500 | |||
Inventories | 379,000 | Accrued wages and taxes | 92,000 | |||
Total current assets | $ | 572,000 | Total short-term liab. | $ | 417,500 | |
Long-term debt | 293,500 | |||||
Common stock | 150,000 | |||||
Net plant & equip. | 557,000 | Retained earnings | 268,000 | |||
Total assets | $ | 1,129,000 | Total liabilities & equity | $ | 1,129,000 | |
How much of the company's profits have been reinvested over the years?
a. | $150,000 | |
b. | $60,000 | |
c. | $418,000 | |
d. | $1,129,000 | |
e. | $268,000 |
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