Pullman Corporation had retained earnings of €2,100,000 at January 1, 2019. During the year the company experienced a net loss of €900,000 and declared cash dividends of €240,000. It was discovered in 2019 that €150,000 of repair expense was debited to the Land account in 2018. The income tax rate is 20%. Determine the retained earnings balance at December 31, 2019. a. €810,000 b. €1,080,000 c. €1,050,000 d. €840,000

Pullman Corporation had retained earnings of €2,100,000 at January 1, 2019. During the year the company experienced a net loss of €900,000 and declared cash dividends of €240,000. It was discovered in 2019 that €150,000 of repair expense was debited to the Land account in 2018. The income tax rate is 20%. Determine the retained earnings balance at December 31, 2019. a. €810,000 b. €1,080,000 c. €1,050,000 d. €840,000

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter20: Corporations And Parterships

Section: Chapter Questions

Problem 40P

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