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The Davidson Corporation's balance sheet and income statement are provided here. Davidson Corporation: Balance Sheet as of December 31, 2019 (Millions of Dollars) Assets Liabilities

The Davidson Corporation's balance sheet and income statement are provided here.

Davidson Corporation: Balance Sheet as of December 31, 2019
(Millions of Dollars)
Assets Liabilities and Equity
Cash and equivalents $ 15 Accounts payable $ 120
Accounts receivable 475 Accruals 260
Inventories 830 Notes payable 235
Total current assets $ 1,320 Total current liabilities $ 615
Net plant and equipment 2,485 Long-term bonds 1,510
Total liabilities $ 2,125
Common stock (100 million shares) 280
Retained earnings $ 1,400
Common equity $ 1,680
Total assets $ 3,805 Total liabilities and equity $ 3,805

Davidson Corporation: Income Statement for Year Ending
December 31, 2019 (Millions of Dollars)
Sales $ 7,750
Operating costs excluding depreciation and amortization 6,550
EBITDA $ 1,200
Depreciation and amortization 350
EBIT $ 850
Interest 230
EBT $ 620
Taxes (25%) 155
Net income $ 465
Common dividends paid $ 159
Earnings per share $ 4.65

  1. Construct the statement of stockholders' equity for December 31, 2019. No common stock was issued during 2019. Write out all your answers completely. For example, 25 million should be entered as 25,000,000. Round your answers to the nearest share or dollar.

    Common Stock Retained Total Stockholders'
    Shares Amount Earnings Equity
    Balances, 12/31/18 $ $ $
    2019 Net income
    Cash dividends
    Addition to RE
    Balances, 12/31/19 $ $ $

    Enter your answers for parts b-d in millions. For example, an answer of $25,000,000 should be entered as 25.

  2. How much money has been reinvested in the firm over the years? Round your answer to the nearest hundredth of million, if necessary.

    $ million

  3. At the present time, how large a check could be written without it bouncing? Round your answer to the nearest hundredth of million, if necessary.

    $ million

  4. How much money must be paid to current creditors within the next year? Round your answer to the nearest hundredth of million, if necessary.

    $ million

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