If a company loses money rather than making money over a given period (i.e., its net income is negative), this detracts from any retained earnings the company had. To calculate retained earnings ...
You'll find these in a company's 10-K annual report. Here is the formula for calculating dividends: Annual net income minus net change in retained earnings = dividends paid. Image source ...
The expanded accounting equation builds upon the basic accounting equation's use of assets, liabilities and equity by ...