EX 13-17 Retained earnings statement

Sandusky Corporation, a manufacturer of industrial pumps, reports the following results for the year ending October 31, 2012:


Retained earnings, November 1, 2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $796,750
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 215,000
Cash dividends declared . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,000
Stock dividends declared . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,000



Prepare a retained earnings statement for the fiscal year ended October 31, 2012.


Answer:

SANDUSKY CORPORATION
Retained Earnings Statement
For the Year Ended October 31, 2012
Retained earnings, November 1, 2011.............................. $796,750
Net income.......................................................................... $215,000
Less dividends declared.................................................... 45,000
Increase in retained earnings............................................ 170,000
Retained earnings, October 31, 2012................................ $966,750

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