Here's a simple explanation that anyone can understand. Company annual reports contain a lot of charts. Of these, retained earnings statements are perhaps the easiest to understand. Today we're ...

However, the basic formula for calculating retained earnings is relatively simple. A statement of retained earnings, which can also be called a retained earnings statement, is a common financial ...

The statement of retained earnings uses the net income reported ... These transactions are reported on your other basic financial reports. The cash sales reported on the income statement are ...

The Basic Features of the Four Financial ... Companies may prepare a separate statement of retained earnings to show the derivation of the ending retained-earnings balance. Determine the cash ...

In this statement, a company would show the retained earnings at the beginning of the period, any items that have increased the retained earnings (for example net income), any items that have ...

Here is the formula for calculating dividends: Annual net income minus net change in retained earnings = dividends paid. Image source: Getty Images. Second, the income statement in the annual ...

Calculating Costco's dividends in 2014 In 2014, Costco reported net income of $2.058 billion on its income statement. On its balance sheet, it reported having retained earnings of $6.283 billion ...