Jason Fernando is a professional investor and writer who enjoys tackling and communicating complex business and financial problems. David Kindness is a Certified Public Accountant (CPA) and an expert ...

J.B. Maverick is an active trader, commodity futures broker, and stock market analyst 17+ years of experience, in addition to 10+ years of experience as a finance writer and book editor. Dr. JeFreda R ...

Retained earnings refer to the amount of net income that a business has after it has paid out dividends to its shareholders. Businesses generate earnings that are either positive or negative. Positive ...

Retained earnings are the cumulative profits that a company has kept to reinvest in its business. Some earnings are distributed to shareholders as dividends. The remainder is considered retained ...

Net working capital and retained earnings are both important indicators of a company's health. Net working capital describes a company's liquidity -- how well it can pay its bills. Retained earnings ...

While paying dividends to shareholders is one way to use profits, aiming for higher retained earnings can be a more effective long-term strategy for creating shareholder value. In addition to ...