Anciens Huang / Getty Images The balance sheet and the profit and loss (P ... repaid. Retained earnings are recorded under shareholder equity and refer to the percentage of net earnings not ...

Retained earnings are the cumulative profits that a business holds onto for operations after any dividends have been paid. Retained earnings refer to the portion of a company’s net income that ...

this value flows through to the balance sheet and cash flow statement. On the balance sheet, net earnings are included as retained earnings in the equity section. Retained earnings for the balance ...

Annual net income minus net change in retained earnings = dividends paid. Image source: Getty Images. Second, the income statement in the annual report -- which measures a company's financial ...