Wendell Company provided the following pertaining to its accounting year that ended December 31, 2022:
Common stock with a $10,000 par value was issued for $43,000 cash
Cash dividends totaling $21,700 were declared, of which $16,700 were paid
Net income was $63,000
A 5% stock dividend resulted in a common stock distribution, which had a $5,000 par value and a $24,700 market value
Treasury stock repurchased in a prior year for $10,700 was resold for $8,700 and in the journal entry to record the sale, Additional paid-in capital was debited for the amount of the difference between the repurchase price and the resale price
What is the amount of the increase in Wendell’s retained earnings for the year ended December 31, 2022?
Multiple Choice
$18,600.
$21,600.
$16,600.
$36,300.
Common stock with a $10,000 par value was issued for $43,000 cash
Cash dividends totaling $21,700 were declared, of which $16,700 were paid
Net income was $63,000
A 5% stock dividend resulted in a common stock distribution, which had a $5,000 par value and a $24,700 market value
Treasury stock repurchased in a prior year for $10,700 was resold for $8,700 and in the journal entry to record the sale, Additional paid-in capital was debited for the amount of the difference between the repurchase price and the resale price
What is the amount of the increase in Wendell’s retained earnings for the year ended December 31, 2022?
Multiple Choice
$18,600.
$21,600.
$16,600.
$36,300.