Answer:
The answer is $23,000
Explanation:
The total net income for the first four years:
$8,000 + $5,000 + $12,000 + $10,000
=$35,000
Average annual dividends paid over the four years is $3,000
Therefore, total paid for years will be $3,000 x 4
=$12,000
So, the ending retained earnings balance will be:
$35,000 - $12,000
=$23,000
