Retained earnings relations. Selected data affecting retained earnings for Ford Motor Company, an automobile manufacturer, for four recent years appear below (amounts in millions):

Year 9 Year 10 Year 11 Year 12 Retained Earnings, January 1 $12,221 ?

Net Income 7,237 $ 3,467 Dividends Declared and Paid 2,290 ?

Retained Earnings, December 31 ? 17,884 1,929 10.502

$10,502 ?

743 8,659

a. Compute the missing amounts for each of the four years.

b. What is the likely reason for the pattern of net income and net loss over the four-year period?

c. What is the likely reason for the pattern of dividends over the four-year period?