Question
Sammys Pizza opened on January 1, 2014. Sammys reported the following for cash revenues and cash expenses for the years 2014 to 2016: Cash Revenues
| Sammys Pizza opened on January 1, 2014. Sammys reported the following for cash revenues and cash expenses for the years 2014 to 2016: |
| Cash Revenues | Cash Expenses | |||||
| 2014 | $ | 15,000 | $ | 8,500 | ||
| 2015 | $ | 25,000 | $ | 11,500 | ||
| 2016 | $ | 35,000 | $ | 19,500 | ||
|
| ||||||
| Required |
| a. | What would Sammys Pizza report for net income and retained earnings for the years 2014, 2015, and 2016? |
| c. | Assume that Sammys Pizza paid a $3,750 dividend to stockholders in 2015. What would Sammys Pizza report for net income and retained earnings for 2015 and 2016? |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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
Study Guide For Use With Managerial Accounting
Authors: Ronald M. Copeland, Paul E. Dascher, Jerry R. Strawser, Robert H. Strawser
1st Edition
0873937651, 978-0873937658
