Retained earnings is increased by:
A)net income.
B)net loss.
C)dividends.
D)expenses.

Name: Retained earnings is increased by: A)net income. B)net loss. C)dividends. D)expenses.
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Question

Quizplus · Accepted Answer

Retained earnings represent the accumulated profits of a company that are not distributed to shareholders as dividends. Net income increases retained earnings, while net loss and dividends decrease retained earnings. Expenses are deducted from revenue to determine net income, but they do not directly impact retained earnings.

Retained Earnings Is Increased By