Inc Paid

Inc Paid

How much dividends were paid to shareholders during the year?

In its most recent financial statements, Newhouse Inc. reported $35 million of net income and $665 million of retained earnings. The previous retained earnings were $632 million. How much dividends were paid to shareholders during the year?

Retained earnings is increased by net income and decreased by dividends.

Retained earnings, year 1 $632MM
Add Net Income, year 2 35MM
Less Dividends year 2 (2)MM

Retained earnings, year 2 $665MM