Compute the ending balance in retained earnings

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Problem - Carla Vista Company reported retained earnings at December 31, 2019, of $317,000. Carla Vista had 190,000 shares of common stock outstanding at the beginning of 2020. The following transactions occurred during 2020.

1. A cash dividend of $0.35 per share was declared and paid.

2. A 5% stock dividend was declared and distributed when the market price per share was $15 per share.

3. Net income was $290,000.

Required - Compute the ending balance in retained earnings at the end of 2020.

Reference no: EM132824593

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