Exercise 1-5

Suppose the following information was taken from the 2017 financial statements of pharmaceutical giant Pharoah Company (All dollar amounts are in millions.)

Retained earnings, January 1, 2017		$45,351.5
Cost of goods sold		8,996.6
Selling and administrative expenses		8,221.5
Dividends		3,387.0
Sales revenue		42,194.2
Research and development expense		5,125.3
Income tax expense		2,969.6

After analyzing the data, prepare a retained earnings statement for the year ending December 31, 2017