Problem: Atlantic Corporation reported the following amounts at the end of the first year of operations: contributed capital $100,000; sales revenue $400,000; total assets $300,000; $20,000 dividends; and total liabilities $160,000. Retained earnings and total expenses would be  A. retained earnings $40,000 and expenses $340,000. B. retained earnings $60,000 and expenses $320,000. C. retained earnings $140,000 and expenses $240,000. D. retained earnings $160,000 and expenses $220,000.

🤓 Based on our data, we think this question is relevant for Professor Bergman's class at ISU.

Problem Details

Atlantic Corporation reported the following amounts at the end of the first year of operations: contributed capital $100,000; sales revenue $400,000; total assets $300,000; $20,000 dividends; and total liabilities $160,000. Retained earnings and total expenses would be 

A. retained earnings $40,000 and expenses $340,000.

B. retained earnings $60,000 and expenses $320,000.

C. retained earnings $140,000 and expenses $240,000.

D. retained earnings $160,000 and expenses $220,000.

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What scientific concept do you need to know in order to solve this problem?

Our tutors have indicated that to solve this problem you will need to apply the The Financial Statements concept. You can view video lessons to learn The Financial Statements. Or if you need more The Financial Statements practice, you can also practice The Financial Statements practice problems.

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What professor is this problem relevant for?

Based on our data, we think this problem is relevant for Professor Bergman's class at ISU.