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Coral Corporation began operations on January 1, 2016, with an investment of $300,000 by its stockholders. Net income for its first year of business was
Coral Corporation began operations on January 1, 2016, with an investment of $300,000 by its stockholders. Net income for its first year of business was $92,000. During 2017 and 2018, net income increased to $188,000 and to $217,000 respectively. Coral paid $80,000 in dividends to its stockholders in each of the three years.
A. Determine the amount of Corals retained earnings at the following 3 dates: December 31, 2016, December 31, 2017, and December 31, 2018
B. Determine the amount of Corals stockholders equity at December 31, 2018.
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