Robert Coles Sun, Jan 13, 2013 @ 07:01 AM. If Internet memes have taught us anything, it's that there are plenty of ways to waste time, be it at work, at home on the couch, or on Facebook at a restaurant.
Retained earnings and stockholders' equity are decreased by a per-share cash dividend that is paid on common and preferred shares of stock, and not on shares of repurchased or treasury stock.
The answer is Retained Earnings, which appears on the statement of retained earnings and the balance sheet. Do not take the Retained Earnings balance from the trial balance. Use the ending balance from the statement of retained earnings. Here is our basic balance sheet: Notice that the equation does balance. The amount in Retained Earnings is the amount from the statement of retained earnings and not the trial balance.