McDonald's Corporation is a well-known fast-food restaurant company. The following data are from its 2011 annual report ($ in millions):

1. Prepare the following for the year ended December 31, 2011:

a. Income statement. Label the final three lines of the income statement as follows: income before provision for income taxes, provision for income taxes, and net income.

b. The retained earnings column of the statement of stockholders' equity.

2. Comment briefly on the relative size of the cash dividend.

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McDonald's Corporation 2,607.3 27,006.0 Selling, general, and administrative 2,393.7 517.5 Franchise restaurants occupancy 1,481.5 36,707.5 3,827.6 Retained earnings $33,811.7 Dividends declared December 31, 2010 Revenues expenses Interest and other nonoperating expenses Provision for income taxes Food and paper expense Payroll and employee benefits expenses 2,509.1 Retained eamings, end of year 6,167.2 4,606.3 Occupancy and other operating expenses