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The following account balances were drawn from the financial records of Kent Company ( KC ) as of January 1 , Year 5 : Assets,

The following account balances were drawn from the financial records of Kent Company (KC) as of January 1, Year 5: Assets, $14,500; Liabilities, $4,100; Common Stock, $7,200; and Retained Earnings, $3,200. KC has agreed to pay the creditors $410 of interest per year. Further, KC agrees that for the Year 5 fiscal year any annual earnings remaining after the interest charges will be paid out as dividends to the owners.
Required
Assuming KC earns a before interest expense recognition profit of $920 during Year 5, determine the amount of interest and dividends paid.
Assuming KC earns a before interest expense recognition profit of $515 during Year 5, determine the amount of interest and dividends paid.
Assuming KC earns a before interest expense recognition profit of $100 during Year 5, determine the amount of interest and dividends paid.\table[[,,],[a.,Amount of interest,],[,Dividends paid,],[b.,Amount of interest,],[,Dividends paid,],[c.,Amount of interest,],[,Dividends paid,]]
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