tibryanna
Answered

Discover answers to your questions with Westonci.ca, the leading Q&A platform that connects you with knowledgeable experts. Discover a wealth of knowledge from professionals across various disciplines on our user-friendly Q&A platform. Explore comprehensive solutions to your questions from a wide range of professionals on our user-friendly platform.

Dividends declared is subtracted from the Statement of Retained Earnings. True or False.

Sagot :

Samawati

Answer:

True

Explanation:

Retained earnings are profits that management opts not to distribute to shareholders. They are profits invested back in the business. The statement of retained earnings is the financial statement that records the retained earnings.

Calculation of retained earnings is by deducting dividends from the net profits. In the statement of retained earnings, net profits are added to the beginning balance of retained earnings and subtracting dividends declared.

Visit us again for up-to-date and reliable answers. We're always ready to assist you with your informational needs. Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.