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The following is from the 2018 annual report of Kaufman Chemicals, Inc.: Statements of Comprehensive Income Years Ended December 31 2018 2017 2016 Net income
The following is from the 2018 annual report of Kaufman Chemicals, Inc.:
Statements of Comprehensive Income | |||||||||||
Years Ended December 31 | 2018 | 2017 | 2016 | ||||||||
Net income | $ | 790 | $ | 620 | $ | 475 | |||||
Other comprehensive income: | |||||||||||
Change in net unrealized gains on investments, net of tax of $12, ($10), and $10 in 2018, 2017, and 2016, respectively | 24 | (17 | ) | 18 | |||||||
Other | (1 | ) | (1 | ) | 2 | ||||||
Total comprehensive income | $ | 813 | $ | 602 | $ | 495 | |||||
Kaufman reports accumulated other comprehensive income in its balance sheet as a component of shareholders' equity as follows:
($ in millions) | ||||||
2018 | 2017 | |||||
Shareholders equity: | ||||||
Common stock | 300 | 300 | ||||
Additional paid-in capital | 7,565 | 7,565 | ||||
Retained earnings | 6,645 | 6,089 | ||||
Accumulated other comprehensive income | 83 | 60 | ||||
Total shareholders equity | $ | 14,593 | $ | 14,014 | ||
Required: 4. From the information provided, determine how Kaufman calculated the $83 million accumulated other comprehensive income in 2018. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)
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