PepsiCo Inc. and Subsidiaries reported the following amounts in various statements included in its 2008 annual report. (All amounts are stated in millions of dollars.)

Net income for 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 5,142

Cash dividends declared in 2008 . . . . . . . . . . . . . . . . . 2,599

Retained earnings, December 29, 2007 . . . . . . . . . . . . 28,095

Retained earnings, December 27, 2008 . . . . . . . . . . . . 30,638

Required

1. Prepare a statement of retained earnings for PepsiCo for the year ended December 27, 2008.

2. PepsiCo does not actually present a statement of retained earnings in its annual report. Instead, it presents a broader statement of shareholders’ equity. Describe the information that would be included on this statement that is not included on a statement of retained earnings.