The records of Swifty Corp. for calendar 2023 reflected the following correct pre-tax amounts: gain from discontinued operations,$41,000; cash dividends declared and paid, $36,900; retained earnings, January 1, 2023, $225,500, correction of accounting error,$28,700 debit; income before income taxes and before discontinued operations, $135,300. The average income tax rate of 40%applies to all items except the dividends.Calculate the December 31, 2023 ending balance of retained earnings.
The records of Swifty Corp. for calendar 2023 reflected the following correct pre-tax amounts: gain from discontinued operations,$41,000; cash dividends declared and paid, $36,900; retained earnings, January 1, 2023, $225,500, correction of accounting error,$28,700 debit; income before income taxes and before discontinued operations, $135,300. The average income tax rate of 40%applies to all items except the dividends.Calculate the December 31, 2023 ending balance of retained earnings.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter18: Accounting For Income Taxes
Section: Chapter Questions
Problem 9MC: Brooks Company reported a prior period adjustment of 512,000 in pretax financial "income" and...
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The records of Swifty Corp. for calendar 2023 reflected the following correct pre-tax amounts: gain from discontinued operations,
$41,000; cash dividends declared and paid, $36,900; retained earnings, January 1, 2023, $225,500, correction of accounting error,
$28,700 debit; income before income taxes and before discontinued operations, $135,300. The average income tax rate of 40%
applies to all items except the dividends.
Calculate the December 31, 2023 ending balance of retained earnings.
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