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Answered 2014-11-20 03:32:28

Yes retained earnings that are restricted for building expansion are placed on the classified balance sheet. Retained earnings are not considered assets.

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Is unappropriated retained earnings credit?

Yes, since this account (Retained Earnings) is a credit account and an uppropriate retained earnings account is simply a non-restricted account which is Retained Earnings !!! Even the restricted/ appropriate retained earnings are credited.

What are temporairly restricted retained earnings?

Prior year earnings, retained in the entity, that will be available for unrestricted use whenever whatever restrictions expire.

Where does appropriation for plant expansion go on the balance sheet?

Retained earnings

What is the entry when releasing a net asset from temporarily restricted?

Release restricted funds by creating a journal entry which is a credit to the restriction account and a debit to retained earnings

What are the reasons for not using retained earnings when starting a new business?

A new business has no retained earnings. Retained earnings are prior years earnings that have not been distributed to the shareholders... if it is a brand new business there is no possible way to have retained earnings at inception date.

What is the normal balance of retained earnings?

normal balance of retained earnings: credit.

Formulla for retained earnings?

retained earnings=profit after tax- dividend distribution

Is retained earnings a liability?

NO, the retained earnings would be in the equity part of the equation.

Is retained earnings a current liability?

Retained Earnings is a Non-Current Liability

Are dividends paid out of the current year's profits or from retained earnings?

From retained earnings.

What does retained earnings represent?

Retained earnings are a businesses earnings that have not been paid out as dividends. These are usually retained to pay off debt that the business owes.

What is a closed revenue and expense account to retained earnings called?

When you close the accounts, it totals into retained earnings, so in turn, it is essentially retained earnings.

How is retained earnings calculated?

1. If dividend paid: Retained Earnings = Net profit - dividend if dividend not paid: Retained earnings = Net profit

Is there a restriction on what you can do with retained earnings?

Yes, I think there are some restrictions as to its use. Retained earnings are the accumulated profits/ income that arose from the operation of the business. It's use is sometimes restricted when considering some accounting principles. Mostly, the timing of recording, limit of charging based on the transaction and accounting measures, and qualification of the transactions for Retained earnings to be affected.

Is retained earnings an asset?

No, retained earnings comes after Net Income on the Income Statement. The retained earnings is less than the Net Income if a dividend is paid out.

Which account below is not a subdivision of retained earnings?

There are no accounts listed. Therefore, it is hard to determine which account is not a subdivision of retained earnings. Expenses are not a subdivision of retained earnings.

Which financial statement summarizes the changes in retained earnings?

Stetement of retained earnings summarizes the changes occured in retained earnings from opening balance to closing balance.

Can you debit asset and credit Retained earnings?

Assets are increased with a debit and decreased by a credit. Retained earnings is a credit, as they are an owners equity account and increase with credit.Retained earnings is what a company has after all expenses and dividends (if applicable) are paid. Retained earnings is shown on the Statement of Retained Earnings and is a credit which increases OE.

A company's retained earnings balance is increased by?

Profit for the period increases Retained earnings.

Does retained earnings have a debit balance?

Retained Earnings normally has a credit balance. Net loss will be debited to Retained Earnings account thus results to a debit balance. Retained Earnings with a debit balance will be called as 'Deficits" or "Accumulated Deficits".

Retained earnings at the end of the period is equal to?

beginning retained earnings +net income+dividends

How do I calculate the change in retained earnings?

change in Retained Earnings = Net Income - Dividend(declared)

What is another name for retained earnings?

A common name for net income kept is "retained earnings."

The ratio percentage of earnings retained is the same as that termed?

This year's retained earnings to net income.

When preparing a retained earnings statement the beginning retained earnings balance can always be found?

in journal