Dobson Corporation's income statement reported net income of $22,400 for the year ended December 31 before accounting for the following:

• During the year, the company purchased available-for-sale securities.
• At the end of the year, the fair value of the investment portfolio was $2,100 more than the cost.
• The retained earnings balance was $83,000 on January 1.
• Dobson Corporation paid $9,000 in cash dividends during the year.

Calculate the balance of retained earnings as of December 31.

Answer rating: 100% (QA)

To calculate the balance of retained earnings as of December 31 we need to consider the net income d... View the full answer