At the end of last year, jefferson motors had 100,000 shares of common stock with a balance of 185,000, retained earnings of $710,000 and total stockholders equity of 895,000. This year, jefferson paid a dividend of 55,000 and its end-of-year retained earnings were 780,000. What was the net income of jefferson motors for this year?

at the end of last year, jefferson motors had 100,000 shares of common stock with a balance of 185,000, retained earnings of $710,000 and total stockholders equity of 895,000. this year, jefferson paid a dividend of 55,000 and its end-of-year retained earnings were 780,000. what was the net income of jefferson motors for this year?

Hi, kand58!

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If the former is true, please click on the following link to read the announcement there.

https://www.askmehelpdesk.com/finance-accounting/announcement-font-color-ff0000-u-b-read-first-expectations-homework-help-board-b-u-font.html

Thanks!

Retained earnings:

Beginning Balance
+ Net Income
- Dividends
= Ending Balance

Those are the only things affecting retained earnings. Plug in and solve.