2 The following table shows an abbreviated income statement and balance sheet for McDonald's Corporation for 2012. INCOME STATEMENT OF MCDONALD'S CORP. 2012 (Figures in $ millions) Net sales Costs 27,576 17,578 Depreciation 1,411 Earnings before interest and taxes (EBIT) Interest expense Pretax income Taxes Net income 8,587 526 8,061 2,632 5,429 BALANCE SHEET OF MCDONALD'S CORP., 2012 (Figures in $ millions) Liabilities and Shareholders' Assets 2012 2011 equity 2012 2011 Current assets Current liabilities Cash and marketable 2,345 2,345 securities Debt due for repayment 394 Receivables 1,384 1,344 Accounts payable 3,412 3,152 Inventories 131 126 Total current liabilities 3,412 3,546 2 The following table shows an abbreviated income statement and balance sheet for McDonald's Corporation for 2012. INCOME STATEMENT OF MCDONALD'S CORP. 2012 (Figures in $ millions) Net sales Costs 27,576 17,578 Depreciation 1,411 Earnings before interest and taxes (EBIT) Interest expense Pretax income Taxes Net income 8,587 526 8,061 2,632 5,429 BALANCE SHEET OF MCDONALD'S CORP., 2012 (Figures in $ millions) Liabilities and Shareholders' Assets 2012 2011 equity 2012 2011 Current assets Current liabilities Cash and marketable 2,345 2,345 securities Debt due for repayment 394 Receivables 1,384 1,344 Accounts payable 3,412 3,152 Inventories 131 126 Total current liabilities 3,412 3,546