2.a Cumberland Industries' most recent saies were S550,000,000; operating costs (excluding depreciation) were equal to 80% of sales: net fixed assets were $70,000,000; depreciation amounted to 10% of net fixed assets, interest expenses were $8,000,000; the state-plus-federal corporate tax rate was 40% and Cumberland paid 25% of its net income out in dividends. Given this information, construct Cumberland's income statement. Also calculate total dividends and the addition to retained earnings Cumberland Industries: Income Statement(Thousands of dollars) Sales Operating costs excluding depreciation 2015 550,000 $ 440,000 $ 110,000 $ 7000 $ 103,000 $ 8,000 $ 95,000 $ 38,000 $ 57,000 $ EBITDA Depreciation (Cumberland has no amortization charges) EBIT Interest expense EBT Taxes (40%) Net income Common dividends Addition to retained earnings 14,250 $ 42,750 $ 2.b Cumberland Industries' partial balance sheets are shown below. Cumberland issued S10,000,000 of new common stock in the most recent year. Using this information and the results from part a, fill in the missing values for common stock, retained earnings, total common equity, and total liabilities and equity Cumberland Industries December 31 Balance Sheets (in thousands of dollars) 2015 2014 Assets Cash and cash equivalents Short-term investments Accounts Receivable Inventories $91,450 27,300 108,470 38,450 $249,770 70,000 $74,625 15,100 85,527 34,982 $210,234 42436 Total current assets Net fixed assets Total assets Liabilities and equity Accounts payable Accruals Notes payable $30,761 30,405 12.717 $73,883 80.263 $154,146 $100000 $23,109 22,656 14,217 $59,982 63.914 $123,896 $90,000 38,774 Total current liabilities Long-term debt Total liabilities Common stock Retained earnings Total common equity Total liabilities and equity