Question

Music makers, a record label company, paid dividends of $560,000 to its shareholders, reducing its dividends payable to $350,000. The balance in dividends payable at the beginning of the year was $230,000. The balance in retained earnings at the beginning of the year was $1,990,000 and is now $2,430,000. If only cash dividends were declared during the year, what was music makers' net income for the year?

Answer 1

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