Magtelkom, a Hungarian telecommunications company, reported the following balance sheet information for Year 11 and Year 12.Magtelkom

Question:

Magtelkom, a Hungarian telecommunications company, reported the following information for Year 11 and Year 12.Magtelkom applies IFRS and reports in millions of Hungarian forints (HUF).
Magtelkom
Balance Sheet Data
Year 11 and Year 12

Magtelkom, a Hungarian telecommunications company, reported the following balance sheet

During Year 12, Magtelkom declared and paid dividends of HUF72,729 million and made other adjustments, which increased retained earnings by HUF307 million.
a. Compute Magtelkom€™s balance in Retained Earnings for Year 11.
b. Compute Magtelkom€™s net income for Year12.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...