Monthly Archives: October 2021
Content What Items Don’t Appear On A Statement Of Retained Earnings? Negative Retained Earnings A Beginner’s Guide To Cash Posting Additional Paid Why Is It Important To Know Your Retained Earnings? What Is Retained Earnings? Join Over 140,000 Fellow Entrepreneurs Who Receive Expert Advice For Their Small Business Finances Retained earnings, also known as Accumulated Earnings or Accumulated Earnings and Profits, can be defined as a company’s accumulated surplus or profits after paying out the dividends to shareholders. The retained earnings of a company accumulate over its life and roll over into each new accounting period or year. If a company is profitable, it will likely have retained earnings that increase each accounting period depending on how the company chooses to use its retained earnings. As a company reaches maturity and its growth slows, it has less need for its retained earnings, and so is more inclined to distribute some […]