The following information relates to Dahl Corporation for the year 2009:
|
Net income for the year |
$1,680,000 |
|
Dividends declared on common stock |
235,000 |
|
Dividends declared on preferred stock |
134,000 |
|
Retained earnings, January 1, un appropriated |
5,040,000 |
|
Appropriation for retirement of bonds |
672,000 |
|
Balance in “Appropriation for possible loss of a lawsuit”, no longer needed |
|
|
on December 31 because of a favorable court decision, is (by directors” |
|
|
order) returned to un appropriated retained earnings |
840,000 |
Prepare a statement of retained earnings for the year ended 2009 December 31.