Measures of liquidity, solvency and profitability The comparative financial statements of Stargel Inc. are as follows. The market price of Stargel common stock was $119.70 on December 31, 20Y2. Stargel Inc. Comparative Retained Earnings Statement For the Years Ended December 31, 20Y2 and 20Y1 Retained earnings, January 1 Net income Dividends: On preferred stock On common stock Increase in retained earnings Retained earnings, December 31 20Y2 20Y1 $5,375,000 $4,545,000 $900,000 $925,000 (45,000) (45,000) (50,000) (50,000) $805,000 $830,000 $6,180,000 $5,375,000