Consider Southeast Home Care, a for-profit business. In 2015, its net income was $1,500,000 and it distributed $500,000 to ownderws in the form of dividends. Its beginning-of-year equity balance was $12,000,000. a) Use this information to construct the business's statement of changes in equity. b) What is the ending 2015 value of the business's equity account?
Consider Southeast Home Care, a for-profit business. In 2015, its net income was $1,500,000 and it distributed $500,000 to ownderws in the form of dividends. Its beginning-of-year equity balance was $12,000,000. a) Use this information to construct the business's statement of changes in equity. b) What is the ending 2015 value of the business's equity account?
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter17: Financial Statement Analysis
Section: Chapter Questions
Problem 17E
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Consider Southeast Home Care, a for-profit business. In 2015, its net income was $1,500,000 and it distributed $500,000 to ownderws in the form of dividends. Its beginning-of-year equity balance was $12,000,000.
a) Use this information to construct the business's statement of changes in equity.
b) What is the ending 2015 value of the business's equity account?
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