revenues were $150,000, expenses were $142,000, and cash dividends declared and paid were $4,000. what were…

revenues were $150,000, expenses were $142,000, and cash dividends declared and paid were $4,000. what were the net income and the change in retained earnings for the period?\n\na. net income was $8,000; the change in retained earnings was $8,000.\nb. net income was $150,000; the change in retained earnings was $146,000.\nc. net income was $150,000; the change in retained earnings was $12,000.\nd. net income was $8,000; the change in retained earnings was $4,000.
Answer
Explanation:
Step1: Calculate net income
Net income = Revenues - Expenses Net income = $150000 - 142000=$8000$
Step2: Calculate change in retained earnings
Change in retained earnings = Net income - Dividends Change in retained earnings = $8000 - 4000=$4000$
Answer:
D. Net income was $8,000; the change in retained earnings was $4,000.