Refer to the financial statements and related notes of The Coca-Cola Company in Appendix A to this book.
1. What does the company call its retained earnings? What was the amount at the end of 2004?
2. What was the balance of accumulated other comprehensive income on December 31, 2004? What caused it to change during 2004 and by what amounts?
3. What was the company’s basic net income per share for 2004? How much preferred dividends were subtracted in the computation of this income per share? What was the average number of common shares outstanding used in the computation of this income per share? What was the company’s diluted net income per share for 2004? How does this amount compare to 2003? What potential common shares were included why?
4. What were the dividends per share and in total for 2004?
5. Compute the return on shareowners’ equity for 2004. How does this compare to 2003 (the shareowners’ equity was $11,800 million at the end of 2002)?