Gerry Weber International AG is a German group active in the design, manufacture and retail of women€™s clothing. The following data concerning the parent company were excerpted from the 2011 annual report.

Required
1. Explain the computation of the €˜Accumulated profits€™ in the income statement.
2. What does this accumulated profit for the year represent? Is the balance sheet presented before or after profit appropriation?
3. Explain the total change in €˜retained earnings€™. For that, note the line item €˜transfer to retained earnings€™ disclosed in the income statement. If you cannot explain the total change with these elements, where in the annual report could you find the explanation?
4. From the data excerpted from the balance sheet and income statement provided above, find the amount of the dividends distributed in 2011 with regard to 2010.

Consolidated balance sheet (excerpts) KEUR October 31 2011 2010 Equity Share capital Capital reserve Retained earnings Accumulated other comprehensive incomeloss acc. to IAS 39 Exchange differences Accumulated profts 45,906.0 102,386.9 105,341.7 -646.4 -62.1 60,991.0 313,917.1 21,317.2 45,039.0 98,294.7 -3,344.8 17.4 49,201.4 210,524.9 Consolidated income statement (excerpts) KEUR 2010/2011 2009/2010 Net income for the year Profit carried forward Transfer to retained earnings Accumulated profits 67,037.8 23,953.2 30,000.0 60,991.0 49,201.4 53,960.2 45,241.2 -50,000.0