The Andrews company currently has the following balances in their equity accounts: Common Stock $17,081 Retained earnings $98,561 Suppose next year the Andrews company generates $46,300 in Net Profit, and declares and pays $16,000 in Dividends. What will Andrews ending balance in Retained Earnings be next year?

Andrews ending balance in Retained Earnings next year will be $128,861

Explanation:

Retained Earnings is a Reserve formed from the Company`s Profits retained back in the business and forms part of Shareholders Equity

Calculation of Ending Retained Earnings is: Opening Retained Earnings Balance + Net Profit for the Year - Dividends Declared during the year.

Andrews Company Ending  Retained Earnings for Next Year will be:

Opening Retained Earnings Balance     $98,561

Add Net Profit for the Year                     $46,300

Less Dividends                                        ($16,000)

Ending  Retained Earnings                      $128,861

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.