karissafridley
Jul 6, 2008, 04:47 PM
how do i caluclate retained earnings
karissafridley Jul 6, 2008, 04:47 PM how do i caluclate retained earnings sajalarora Jul 7, 2008, 03:17 AM hello, computation of retained earnings is easy and simple but first of all you need to understand the basics. meaning: retained means we have kept something aside and right now not making use of such particular earnings. thus now, when one arrives at the figure of PBT i.e. PBT(Profit before taxes) less: Taxes paid / provision for taxes made you get PAT(profit after taxes) less : any preference dividend including equity dividend also including any taxes thereof less: any other appropriation of profits to reserves or whatever name called thus balance is the profit called your RETAINED EARNINGS which you reserve for the future growth of the business. morgaine300 Jul 7, 2008, 09:01 PM any preference dividend including equity dividend also including any taxes thereof ?? Taxes on dividends paid?? 949 Jul 15, 2008, 11:17 AM Beginning R.E. earingins October 1, 20xx .....$XX Add: Net income or <Net Loss> ..................$XX Less: Dividends .........................................$XX Ending R.E. earnings October 31, 20xx .........$XX Copyright ©2005-, Ask Me Help Desk
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