Use "Retained Earnings" in a sentence | "Retained Earnings" sentence examples

Retained earnings refer to the portion of a company's net income that is not distributed to shareholders as dividends but is instead reinvested back into the business. It represents the cumulative profits earned by a company since its inception, minus any dividends paid out to shareholders. When using the term "retained earnings" in a sentence, it is important to provide context and clarity to ensure that the meaning is accurately conveyed. Here are some tips on how to use this phrase effectively:

1. Define the term: Begin by providing a brief explanation of what retained earnings are.

For example, "Retained earnings, also known as accumulated profits, are the portion of a company's net income that is reinvested back into the business rather than distributed to shareholders as dividends."

2. Use it in a financial context: Retained earnings are primarily used in financial discussions, so it is essential to incorporate them into sentences related to financial statements, analysis, or decision-making. For instance, "The company's balance sheet shows a significant increase in retained earnings over the past year, indicating its ability to generate profits and reinvest them for future growth."

3. Highlight its significance: Emphasize the importance of retained earnings in a sentence to showcase its role in a company's financial health and sustainability.

For example, "Retained earnings play a crucial role in funding capital expenditures, debt repayments, and research and development initiatives, enabling a company to expand its operations and remain competitive in the market."

4. Compare with other financial metrics: To provide a comprehensive understanding, compare retained earnings with other financial metrics such as revenue, net income, or equity. For instance, "Despite a decline in revenue, the company's retained earnings have steadily increased, indicating effective cost management and profitability."

5. Discuss its impact on shareholders: Elaborate on how retained earnings can benefit shareholders in the long run.

For example, "By reinvesting a portion of its profits into the business, the company aims to enhance its overall value, which can lead to higher stock prices and potential capital gains for shareholders."

6. Consider different industries: Retained earnings can vary across industries, so tailor your sentence to reflect the specific sector you are discussing. For instance, "In the technology sector, companies often retain a significant portion of their earnings to fund research and development projects, ensuring continuous innovation and staying ahead of competitors."

7. Use it in a hypothetical scenario: Employing retained earnings in a hypothetical scenario can help illustrate its practical application.

For example, "If the company decides to distribute its retained earnings as dividends, shareholders would receive a substantial payout, but it may limit the company's ability to invest in future growth opportunities."

8. Incorporate real-world examples: Cite specific companies or case studies to provide concrete examples of how retained earnings have been utilized. For instance, "Apple Inc. has consistently retained a significant portion of its earnings, allowing the company to finance acquisitions, develop new products, and maintain a strong cash position." Remember to use proper grammar and sentence structure while incorporating the term "retained earnings" into your writing. By following these tips, you can effectively communicate the concept and significance of retained earnings in various contexts.

In the remaining portion of this article, additional example sentences are presented to demonstrate the usage of the term "Retained Earnings" within sentences.

"Retained Earnings"

(1) The company's retained earnings are subject to taxation.

(2) The company's retained earnings increased by 10% this year.

(3) Please verify the opening balance of the retained earnings.

(4) The annual accounts include a statement of retained earnings.

(5) The retained earnings can be used to repurchase company shares.

(6) The dividend is payable out of the company's retained earnings.

(7) The liabilities were charged off against the retained earnings.

(8) The opening balance of the retained earnings account was $50,000.

(9) The retained earnings are reported on the company's balance sheet.

(10) The retained earnings can be used to pay dividends to shareholders.

Sentence For "Retained Earnings"

(11) The retained earnings can be used to attract and retain top talent.

(12) The company's retained earnings are reinvested to fuel future growth.

(13) The net asset value of the company's retained earnings is $5 million.

(14) The closing entries were necessary to calculate the retained earnings.

(15) The closing entries were made to update the retained earnings account.

(16) The final dividend will be paid out of the company's retained earnings.

(17) The company's capital reserve is replenished through retained earnings.

(18) The company's retained earnings are audited annually to ensure accuracy.

(19) The retained earnings can be used to pay off outstanding loans or debts.

(20) The final account disclosed a surplus in the company's retained earnings.

"Retained Earnings" In A Sentence

(21) The retained earnings can be used to pay off debt or finance acquisitions.

(22) The bonus issue was a way for the company to utilize its retained earnings.

(23) The retained earnings can be used to fund research and development projects.

(24) The company's capital reserve is primarily funded through retained earnings.

(25) The total equity of the organization is influenced by its retained earnings.

(26) The retained earnings are an important consideration for potential investors.

(27) The statement of retained earnings is an important document for tax purposes.

(28) The credit side of the balance sheet includes the company's retained earnings.

(29) The retained earnings are an important indicator of a company's profitability.

(30) The company's retained earnings are a reflection of its financial performance.

"Retained Earnings" Sentence

(31) The retained earnings can be used to fund marketing and advertising campaigns.

(32) The company's stockholder's equity is primarily composed of retained earnings.

(33) The retained earnings are a result of the company's net income minus dividends.

(34) The company's retained earnings have increased significantly over the past year.

(35) The company's retained earnings are a key factor in determining its market value.

(36) The company's retained earnings are disclosed in the annual financial statements.

(37) The company's retained earnings are reinvested to improve operational efficiency.

(38) The adjusted trial balance is used to calculate the balance of retained earnings.

(39) The net book value of the company's retained earnings was adjusted for dividends.

(40) The owner's equity can be impacted by changes in the company's retained earnings.

"Retained Earnings" Sentence Examples

(41) The retained earnings provide a cushion for the company during economic downturns.

(42) The income tax payable is an expense that reduces the company's retained earnings.

(43) The board of directors decided to reinvest the retained earnings into the business.

(44) The retained earnings can be used for future expansion or investment opportunities.

(45) The retained earnings are a measure of the company's long-term financial stability.

(46) The shareholders' equity of the company is primarily composed of retained earnings.

(47) The company's retained earnings have been steadily growing over the past five years.

(48) The retained earnings are a reflection of the company's ability to generate profits.

(49) The owner's equity can increase through additional investments or retained earnings.

(50) The company's retained earnings have been used to pay out dividends to shareholders.

Sentence With "Retained Earnings"

(51) We need to analyze the retained earnings to determine the company's financial health.

(52) The retained earnings can be used to fund employee training and development programs.

(53) The sale of treasury stock resulted in a decrease in the company's retained earnings.

(54) The pro forma statement of retained earnings showed an increase in shareholder equity.

(55) The statement of retained earnings is prepared by the company's accounting department.

(56) The income summary account is closed to the retained earnings account in a corporation.

(57) The income summary account is closed to the retained earnings account in a partnership.

(58) The retained earnings are an important metric for evaluating a company's profitability.

(59) The statement of retained earnings is often included in the annual report of a company.

(60) The accounting record indicated that the company had a high level of retained earnings.

Use "Retained Earnings" In A Sentence

(61) The balance-sheets showed that the company had a substantial amount of retained earnings.

(62) The owner's capital can be increased through additional investments or retained earnings.

(63) The company's capital stock is a reflection of its past investments and retained earnings.

(64) The board of directors reviews the retained earnings regularly to make strategic decisions.

(65) The statement of retained earnings provides a summary of the company's accumulated profits.

(66) The retained earnings are an important component of the company's overall financial picture.

(67) Closing entries are made to transfer the balance of temporary accounts to retained earnings.

(68) The statement of retained earnings is a key component of the company's financial statements.

(69) The owner's equity reflects the owner's investment in the business and any retained earnings.

(70) The statement of retained earnings is used to calculate the return on equity for the company.

Sentence Using "Retained Earnings"

(71) At the end of the accounting period, the income summary account is closed to retained earnings.

(72) The income summary account is closed to the retained earnings account in a sole proprietorship.

(73) The statement of retained earnings outlines the dividends paid to shareholders during the year.

(74) The company's financial statement showed a retained earnings balance of $5 million in the gross.

(75) The net asset value of the company's retained earnings is adjusted for dividends and net income.

(76) The company's total equity is a reflection of its retained earnings and shareholder investments.

(77) The statement of retained earnings is an important source of information for financial analysts.

(78) The company's retained earnings have allowed for the expansion of the business into new markets.

(79) The statement of retained earnings is crucial for determining the company's book value per share.

(80) The statement of retained earnings reflects the net income earned by the company during the year.

Sentences With "Retained Earnings"

(81) The statement of retained earnings provides transparency regarding the company's dividend policy.

(82) The closing entries were made to transfer the net income or loss to the retained earnings account.

(83) The book value per share can be influenced by factors such as retained earnings and stock buybacks.

(84) The statement of retained earnings is an integral part of the financial statement analysis process.

(85) The income summary account is closed to the retained earnings account to update the equity section.

(86) The statement of retained earnings is prepared annually as part of the financial reporting process.

(87) The statement of retained earnings helps investors understand how the company utilizes its profits.

(88) The statement of retained earnings is an essential component of the company's financial disclosure.

(89) The stockholder's equity can be influenced by factors such as retained earnings and stock issuances.

(90) The shareholders' equity is a reflection of the company's retained earnings and contributed capital.

Sentence Of "Retained Earnings"

(91) The statement of retained earnings discloses the amount of profit reinvested back into the business.

(92) The income summary account is closed to the retained earnings account in a limited liability company.

(93) The statement of retained earnings demonstrates the company's ability to generate and retain profits.

(94) The statement of retained earnings is audited by external auditors to ensure accuracy and compliance.

(95) The statement of retained earnings is prepared annually as part of the company's financial statements.

(96) The total equity of the company is influenced by factors such as retained earnings and stock issuances.

(97) The income summary account is used to transfer the net income or loss to the retained earnings account.

(98) The statement of retained earnings provides insights into the company's financial health and stability.

(99) The statement of retained earnings is required by regulatory authorities for publicly traded companies.

(100) The statement of retained earnings helps in evaluating the company's profitability and growth potential.

"Retained Earnings" Sentences

(101) The statement of retained earnings is a useful tool for management to make informed financial decisions.

(102) The statement of retained earnings provides a clear picture of how the company's earnings are allocated.

(103) Closing entries are made to close out the revenue and expense accounts to the retained earnings account.

(104) The statement of retained earnings is used to calculate the book value per share of the company's stock.

(105) The statement of retained earnings shows the portion of earnings that have been retained for future use.

(106) The CFO presented a report on the company's retained earnings to the shareholders at the annual meeting.

(107) The statement of retained earnings helps in understanding the company's dividend policy and payout ratio.

(108) The statement of retained earnings is a comprehensive record of the company's earnings and distributions.

(109) The statement of retained earnings is a useful tool for management to evaluate the company's performance.

(110) The statement of retained earnings is a crucial component of the overall financial reporting of a company.

"Retained Earnings" Use In Sentence

(111) The statement of retained earnings is typically presented alongside the income statement and balance sheet.

(112) The statement of retained earnings is useful for comparing the company's performance over multiple periods.

(113) The statement of retained earnings helps in assessing the company's ability to generate and retain profits.

(114) The statement of retained earnings is prepared by the company's accounting department or external auditors.

(115) The statement of retained earnings is prepared in accordance with generally accepted accounting principles.

(116) The statement of retained earnings helps investors assess the company's profitability and growth potential.

(117) The statement of retained earnings discloses the dividends paid to shareholders during the reporting period.

(118) The statement of retained earnings provides insights into the financial health and stability of the company.

(119) The statement of retained earnings provides a historical record of the company's earnings and distributions.

(120) The company's retained earnings have been steadily growing due to increased sales and cost-cutting measures.

Sentence On "Retained Earnings"

(121) The company's retained earnings have been used to pay off debt and improve the company's financial position.

(122) The statement of retained earnings reflects the net income or loss of the company during a particular period.

(123) The statement of retained earnings is important for tax purposes and determining the company's taxable income.

(124) The company's retained earnings have been a key factor in the company's ability to weather economic downturns.

(125) The statement of retained earnings is an essential financial document for shareholders and potential investors.

(126) The statement of retained earnings shows the changes in the company's retained earnings over a specific period.

(127) The board of directors decided to allocate a portion of the retained earnings towards a new marketing campaign.

(128) The internal transaction involved transferring funds from the retained earnings account to the dividend account.

(129) The statement of retained earnings provides a summary of the changes in the company's retained earnings account.

(130) The statement of retained earnings is a valuable tool for assessing the company's long-term financial stability.

"Retained Earnings" Example

(131) The statement of retained earnings is a vital tool for evaluating the company's financial performance over time.

(132) The statement of retained earnings is prepared in accordance with generally accepted accounting principles (GAAP).

(133) The statement of retained earnings is required by regulatory bodies to ensure transparency in financial reporting.

(134) An internal transaction was recorded to transfer funds from the retained earnings account to the dividend account.

(135) The statement of retained earnings is a valuable resource for shareholders to track their investment's performance.

(136) The CEO announced that the company's retained earnings would be used to fund a new research and development project.

(137) The income summary account is closed to the retained earnings account to reflect the company's financial performance.

(138) The company's retained earnings have been reinvested into the business to improve operations and increase efficiency.

(139) The consolidated balance sheet shows the company's total retained earnings and accumulated other comprehensive income.

(140) The statement of retained earnings helps in understanding how profits are reinvested or distributed among shareholders.

"Retained Earnings" In Sentence

(141) The statement of retained earnings is an important tool for financial analysts to assess the company's future prospects.

(142) The statement of retained earnings is a key document for potential investors to evaluate the company's financial stability.

(143) The statement of retained earnings is prepared by taking into account the beginning and ending balances of retained earnings.

(144) The statement of retained earnings is an integral part of the financial statement package submitted to regulatory authorities.

(145) The statement of retained earnings shows the beginning balance, net income, dividends, and ending balance of retained earnings.

Learning English Faster Through Complete Sentences With "Retained Earnings"

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Focus Your English Learning On Sentences With "Retained Earnings".

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- The Word "Retained Earnings" in Example Sentences.
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- 10 examples of sentences "Retained Earnings".
- 20 examples of simple sentences "Retained Earnings".

All the parts of speech in English are used to make sentences. All sentences include two parts: the subject and the verb (this is also known as the predicate). The subject is the person or thing that does something or that is described in the sentence. The verb is the action the person or thing takes or the description of the person or thing. If a sentence doesn’t have a subject and a verb, it is not a complete sentence (e.g., In the sentence “Went to bed,” we don’t know who went to bed).

Four Types Of Sentence Structure.

Simple Sentences With "Retained Earnings"

A simple sentence with "Retained Earnings"contains a subject and a verb, and it may also have an object and modifiers. However, it contains only one independent clause.

Compound Sentences With "Retained Earnings"

A compound sentence with "Retained Earnings" contains at least two independent clauses. These two independent clauses can be combined with a comma and a coordinating conjunction or with a semicolon.

Complex Sentences With "Retained Earnings"

A complex sentence with "Retained Earnings" contains at least one independent clause and at least one dependent clause. Dependent clauses can refer to the subject (who, which) the sequence/time (since, while), or the causal elements (because, if) of the independent clause.

Compound-Complex Sentences With "Retained Earnings"

Sentence types can also be combined. A compound-complex sentence with "Retained Earnings" contains at least two independent clauses and at least one dependent clause.