Yes, since this account (Retained Earnings) is a credit account and an uppropriate retained earnings account is simply a non-restricted account which is Retained Earnings !!! Even the restricted/ appropriate retained earnings are credited.
A new business has no retained earnings. Retained earnings are prior years earnings that have not been distributed to the shareholders... if it is a brand new business there is no possible way to have retained earnings at inception date.
Retained Earnings is a Non-Current Liability
1. If dividend paid: Retained Earnings = Net profit - dividend if dividend not paid: Retained earnings = Net profit
No, retained earnings comes after Net Income on the Income Statement. The retained earnings is less than the Net Income if a dividend is paid out.
Yes, since this account (Retained Earnings) is a credit account and an uppropriate retained earnings account is simply a non-restricted account which is Retained Earnings !!! Even the restricted/ appropriate retained earnings are credited.
Stetement of retained earnings summarizes the changes occured in retained earnings from opening balance to closing balance.
A new business has no retained earnings. Retained earnings are prior years earnings that have not been distributed to the shareholders... if it is a brand new business there is no possible way to have retained earnings at inception date.
Retained Earnings is a Non-Current Liability
NO, the retained earnings would be in the equity part of the equation.
retained earnings=profit after tax- dividend distribution
normal balance of retained earnings: credit.
From retained earnings.
When you close the accounts, it totals into retained earnings, so in turn, it is essentially retained earnings.
1. If dividend paid: Retained Earnings = Net profit - dividend if dividend not paid: Retained earnings = Net profit
No, retained earnings comes after Net Income on the Income Statement. The retained earnings is less than the Net Income if a dividend is paid out.
There are no accounts listed. Therefore, it is hard to determine which account is not a subdivision of retained earnings. Expenses are not a subdivision of retained earnings.