The year-end 2010 balance sheet of Brandex Inc. listed common stock and other paid-in capital at

The year-end 2010 balance sheet of Brandex Inc. listed common stock and other paid-in capital at $1,700,000 and retained earnings at $4,000,000. The next year, retained earnings were listed at $4,300,000. The firm’s net income in 2011 was $960,000. There were no stock repurchases during the year. What were the dividends paid by the firm in 2011?

Dividends paid

$

Explanation:

Net income = increase in retained earnings + dividends

$960,000 = ($4,300,000 − $4,000,000) + dividends  dividends = $660,000