Retained earnings, July 1, 2013 $3,900,000
Net income 714,000
Cash dividends declared 100,000
Stock dividends declared 50,000
Prepare a retained earnings statement for the fiscal year ended June 30, 2014.
Answer:
ROCKWELL INC.
Retained Earnings Statement
For the Year Ended June 30, 2014
Retained earnings, July 1, 2013 $3,900,000
Net income $714,000
Less dividends declared 150,000
Increase in retained earnings 564,000
Retained earnings, June 30, 2014 $4,464,000