Costcos Comprehensive Income Following is the consolidated statement of stockholders equity of Costco Wholesale Corporation for the

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Costco’s Comprehensive Income Following is the consolidated statement of stockholders’ equity of Costco Wholesale Corporation for the year ended August 31, 2008:

Costco Wholesale Corporation Consolidated Statements of Stockholders’ Equity and Comprehensive Income Other Additional Accumulated Common Stock Paid-In Comprehensive Retained Shares Amount Capital Income/(Loss) Earnings Total Adjusted balance at September 2, 2007 437,013 $2,185 $3,118,224 $370,589 $5,126,335 $8,617,333 Comprehensive Income:
Net income — — — — 1,282,725 1,282,725 Foreign currency translation adjustment — — — (84,928) — (84,928)
and other Comprehensive income 1,197,797 Stock options exercised and vesting of 9,299 47 362,361 — — 362,408 restricted stock units, including income tax benefi ts and other Conversion of convertible notes 13 — 397 — — 397 Stock repurchase (13,812) (69) (103,704) — (783,177) (886,950)
Stock-based compensation — — 166,105 — — 166,105 Cash dividends — — — — (265,029) (265,029)
Balance at August 31, 2008 432,513 $2,163 $3,543,383 $285,661 $5,360,854 $9,192,061 Required 1. Costco has an item in the statement of stockholders’ equity called Other Comprehensive Income. What are the possible sources of other comprehensive income as discussed in your text?
2. Besides Net Income and Other Comprehensive Income, what other items affected stockholders’ equity during the period?
3. How do cash dividends affect stockholders’ equity? How would a stock dividend affect stockholders’ equity?AppendixLO1

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