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Home > Business & Careers > Finance   »   retained earnings

 
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Old Feb 18, 2008, 09:45 AM
myishamuhammad
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retained earnings

If my company made $820 million last year and pad ot 20 percent of earnings in dividends. my questions is by how much did my company retained earnings increase?

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Old Feb 18, 2008, 12:23 PM   #2  
morgaine300
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Dividends are paid out of retained earnings, therefore they would not increase at all. They would decrease. By the amount of the dividends. So what is 20% of earnings?
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Old Feb 20, 2008, 12:14 PM   #3  
MaggieMouse
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You retained earning increases 80% of the money that you made. 20% was dividends.

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morgaine300 agrees: Ah! My bad. I interpreted the question wrong. :-)
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