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Davidson Corporation: Balance Sheet as of December 31, 2019
(Millions of Dollars)
Assets				Liabilities and Equity
Cash and equivalents	$	20		Accounts payable	$	130
Accounts receivable		580		Accruals		270
Inventories		890		Notes payable		230
Total current assets	$	1,490		Total current liabilities	$	630
Net plant and equipment		2,520		Long-term bonds		1,510
				Total liabilities	$	2,140
				Common stock (100 million shares)		270
				Retained earnings	$	1,600
				Common equity	$	1,870
Total assets	$	4,010		Total liabilities and equity	$	4,010

Davidson Corporation: Income Statement for Year Ending
December 31, 2019 (Millions of Dollars)
Sales	$	8,500
Operating costs excluding depreciation and amortization		5,720
EBITDA	$	2,780
Depreciation and amortization		340
EBIT	$	2,440
Interest		160
EBT	$	2,280
Taxes (25%)		570
Net income	$	1,710
Common dividends paid	$	539
Earnings per share	$	17.10

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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