Magenta Ltd issued 900,000 shares at $2 each to commence trading on 1 July 2023.

During the financial year ending 30 June 2024, the company reported a before-tax profit of $980,000 (after-tax profit $662,000).

They also transferred $270,000 to a General Reserve.

Directors declared a dividend of $0.15 per share to be paid in September 2024. 

An extract of the balance sheet of Magenta Ltd at 30 June 2024 based on the information above would be presented as:

When preparing the financial statements of Zeta Ltd, the

accountant found the following information: opening balance of Retained

earnings $25,000; After-tax profit earned $50,000; Transfer to a reserve $15,000.

The closing balance of Retained earnings for Zeta Ltd is:

When preparing the financial statements of Beta Ltd, the

accountant found the following information: opening balance of Retained

earnings $30,000; After-tax profit earned $40,000; Dividends declared $15,000. The

closing balance of Retained earnings for Beta Ltd is:

Under the Conceptual Framework, increases in economic benefits

that arise

Under the Conceptual Framework, decreases in economic benefits

that arise

The equity section of the balance sheet of a company includes:

Retained earnings of a company are classified on the balance sheet

as part of:

The accumulated profits that have not been distributed to

shareholders are classified as:

Recording the payment of a final dividend that had earlier been

declared involves an entry to:

Recording the declaration of a final dividend that will later be

paid in cash involves an entry to: