Midyear on July 31st, the Digby Corporation\'s balance sheet reported: Total Lia
ID: 2560283 • Letter: M
Question
Midyear on July 31st, the Digby Corporation's balance sheet reported:Total Liabilities of $25.618 million
Cash of $2.010 million
Total Assets of $41.357 million
Total Common Stock of $1.270 million.
What were the Digby Corporation's retained earnings? Select: 1 $14.469 million $17.009 million $16.479 million $19.019 million Midyear on July 31st, the Digby Corporation's balance sheet reported:
Total Liabilities of $25.618 million
Cash of $2.010 million
Total Assets of $41.357 million
Total Common Stock of $1.270 million.
What were the Digby Corporation's retained earnings? Select: 1 $14.469 million $17.009 million $16.479 million $19.019 million
Explanation / Answer
Total Assets =Total liabilities+(Common stock+ retained earnings)
41.357=25.618+(1.270+ retained earnings)
Hence retained earnings=(41.357-25.618-1.270)
=$14.469 million(A)