What is the meaning of the term retained earnings? Where do retained earnings show up in the financial statements? What makes retained earnings go up or down?

⏱️TIMESTAMPS⏱️
00:00 Introduction to retained earnings
00:28 Retained earnings definition
00:43 Retained earnings on the balance sheet
01:53 Reinvested earnings example
04:04 Retained earnings example
05:08 Accumulated deficit

In this video we walk through the definition of retained earnings, analyze two real-life examples of well-known companies to understand how retained earnings get accounted for, and provide bonus tips above and beyond what other videos and textbooks would give you on things you should know about retained earnings.

Philip de Vroe (The Finance Storyteller) aims to make strategy, finance and leadership enjoyable and easier to understand. Learn the business vocabulary to join the conversation with your CEO at your company. Understand how financial statements work in order to make better stock market investment decisions. Philip delivers training in various formats: YouTube videos, classroom sessions, webinars, and business simulations. Connect with me through Linked In!