Ask Me Help Desk

Ask Me Help Desk (https://www.askmehelpdesk.com/forum.php)
-   Finance & Accounting (https://www.askmehelpdesk.com/forumdisplay.php?f=411)
-   -   Calculating Dividends (https://www.askmehelpdesk.com/showthread.php?t=224499)

  • Jun 8, 2008, 07:40 AM
    sammy0150
    Calculating Dividends
    This concerns calculating dividends that were paid by a certain firm. There are various items that are provided. The common stock and other paid capital are given as well as the retained earnings for the year 2005. The problem goes on to state the retained earnings as well as the net income for the year 2006. There were no stock purchases during that year and it asks us to determine the amount of dividends that were paid for the year 2006. Is there a certain way to do this?
  • Jun 8, 2008, 05:23 PM
    morgaine300
    If by saying they're giving retained earnings for 2005, you mean an ending balance, keep in mind that is also a beginning balance for 2006.

    Beginning + Net Income - Dividends = Ending Balance.

    If that is not the case, then I don't see where the info is given to figure it out, at least not from what you're stating.

  • All times are GMT -7. The time now is 02:27 PM.