Category: Bookkeeping

The closer the value of ρ is to +1, the stronger the linear relationship. For example, suppose the value of oil prices is directly related to the prices of airplane tickets, with a correlation coefficient of +0.95. The relationship between oil prices and airfares has a very strong positive correlation since the value is close… Continue reading Pearson Correlation Coefficient r Guide & Examples

Content Statement of Retained Earnings Statement of Retained Earnings Vocabulary & Definitions Retained earnings on balance sheet How to prepare a statement of retained earnings Not every business needs a statement of retained earnings, so it’s likely not included with the regular financial statements your bookkeeping staff typically prepares. The retained earnings statement outlines any… Continue reading Retained Earnings Explained Definition, Formula, & Examples

Content What is the Difference Between an Income Statement and Statement of Retained Earnings? Retained Earnings Calculator How Do You Prepare Retained Earnings Statement? Find your beginning retained earnings balance Another example of retained earnings calculation Therefore, the company must balance declaring dividends and retained earnings for expansion. In conclusion, retained earnings are an important… Continue reading How to Calculate Retained Earnings on a Balance Sheet Chron com