13-03-2020
Business

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12. How is Accumulated Earnings calculated?

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Ralph1313 Ralph1313

21-03-2020

Answer:

The Accumulated earnings are calculated by adding net income to (or subtracting net losses from) the previous term's accumulated earnings and then subtracting any net dividend(s) paid to the shareholders. The figure is calculated at the end of each accounting period (quarterly/annually.)

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