Clarify retained earnings and its importance

Clarify retained earnings? Describe importance of this?

Retained earnings represent the sum of all the earnings available to common stockholders of a business at the time of its entire history, minus the total of all the common stock dividends which it has ever paid. Those earnings which were not paid out were, by definition, retained.

Importance
Retained earnings are important because of the reason they represent amounts reinvested into a company in support of the company’s owners instead of being paid out in the form of dividends.

View Complete Question

Related Questions in Finance Basics

Q : What is a Category Category: A grouping

Category: A grouping of related kinds of expenditures, like Personal Services, Reimbursements, Operating Expenses and Equipment, Special Items of Expense, Un-classified, Local Costs, Capital Costs, and inner Cost Recovery.

Q : Graphically combined transactions and

Normal 0 false false

Q : Assignments i want to write final state

i want to write final state report. My state is Texas. You can use the resources that i attached, also you can use another resources to cover the outlines.

Q : State Section 30.00 Section 30.00 : It

Section 30.00: It is a Control Section of Budget Act which amends Government Code Section 13340 to tha sunset continuous appropriations.

Q : Describe usual pattern of cash flows

Describe usual pattern of cash flows for share of preferred stock? How does the market fidn out the value of a share of preferred stock, given these promised cash flows?Preferred stock contains no maturity date hence, it has no maturity value.

Q : Risk from perspective of the Capital

Discuss risk through the perspective of the Capital Asset Pricing Model (CAPM).The Capital Asset Pricing Model, or CAPM, can be utilized to compute the appropriate required rate of return for an investment project specified its degree of risk as

Q : Describe Schedule 7A Schedule 7A : The

Schedule 7A: The summary version of the State Controller’s Office detailed Schedule 8 position register for each department. The information replicated in this schedule is the base for the “Salaries and Wages Supplement” exhibited on

Q : What is Working Capital and Revolving

Working Capital and Revolving Fund: For legal base accounting purposes, fund categorization for funds employed to account for the transactions of self-supporting enterprises which render goods or services for a direct charge to the user that is genera

Q : Financial crisis during 1997-1998

Describe the Financial crisis during the time period of 1997-1998 ?

Q : What is Budget Change Proposal Budget

Budget Change Proposal (BCP): It is a proposal to modify the level of service or funding sources for activities sanctioned by the Legislature, suggest new program activities not presently authorized, or to remove existing programs.

Discover Q & A

Leading Solution Library

Avail More Than 1449334 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1946385
Asked

3,689

Active Tutors

1449334

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment