The following data is from the records of Roland Carlson Inc. for the year ended December 31, 2020. 

Gain on sale of equipment $ 95,000 

Loss on discontinued operations 75,000 

Cost of goods sold 850,000 

Gain on sale of available-for-sale securities 40,000 

Sales revenue 1,900,000 

Selling expenses 300,000 

Income tax expense 187,000 

Dividends declared (common) 90,000 

Common stock, January 1 210,000 

Dividends declared (preferred) 40,000 

Retained earnings January 1, 2020 600,000 

General and administrative expenses 240,000 

Unrealized gain on available-for-sale securities 20,000 

Loss on write-down of inventory to NRV 60,000 

Income taxes attributed to unrealized gain 5,000 

Income taxes related to discontinued operations 25,000 

Paid-in capital in excess of par, January 1 90,000 

Accumulated other comprehensive income, January 1 $ 73,000 

Common stock outstanding (shares) 100,000

Net income. $ 348,000

Prepare a statement of retained earnings.

Answer rating: 100% (QA)

Statement of Retained Earnings Beginnin... View the full answer