See Table 2.5

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showing financial statement data and stock price data for Mydeco Corp.a. What were Mydeco's retained earnings each year?b. Using the data from

2015,

what was Mydeco's total stockholders' equity in

2014?

Income Statement	2015	2016	2017	2018	2019
Revenue	398.5	365.8	420.1	512.7	605.8
Cost of Goods Sold	(185.4)	(176.6)	(205.7)	(246.0)	(293.9)
Gross Profit	213.1	189.2	214.4	266.7	311.9
Sales and Marketing	(65.1)	(66.7)	(81.0)	(103.3)	(125.5)
Administration	(58.7)	(60.5)	(60.7)	(64.8)	(78.1)
Depreciation & Amortization	(28.9)	(26.4)	(34.7)	(38.5)	(38.0)
EBIT	60.4	35.6	38	60.1	70.3
Interest Income (Expense)	(32.7)	(30.9)	(33.4)	(37.0)	(37.4)
Pretax Income	27.7	4.7	4.6	23.1	32.9
Income Tax	(9.7)	(1.6)	(1.6)	(8.1)	(11.5)
Net Income	18	3.1	3	15	21.4
Shares outstanding (millions)	54.5	54.5	54.5	54.5	54.5
Earnings per share	$0.33	$0.06	$0.06	$0.28	$0.39
Balance Sheet	2015	2016	2017	2018	2019
Assets
Cash	48.1	64.5	70.6	67.4	65.4
Accounts Receivable	88.6	68.7	71.5	77.1	87.3
Inventory	31.8	31.8	28.9	30.7	37.3
Total Current Assets	168.5	165	171	175.2	190
Net Property, Plant & Equip.	244.3	247.3	308.2	341.7	342.6
Goodwill & Intangibles	362.4	362.4	362.4	362.4	362.4
Total Assets	775.2	774.7	841.6	879.3	895
Liabilities & Stockholders' Equity
Accounts Payable	18.6	19.3	21.7	27.2	30.2
Accrued Compensation	7.2	6.1	6.6	8.1	9.3
Total Current Liabilities	25.8	25.4	28.3	35.3	39.5
Long-term Debt	500.1	500.1	574	598.6	598.6
Total Liabilities	525.9	525.5	602.3	633.9	638.1
Stockholders' Equity	249.3	249.2	239.3	245.4	256.9
Total Liabilities & Stockholders' Equity	775.2	774.7	841.6	879.3	895
Statement of Cash Flows	2015	2016	2017	2018	2019
Net Income	18	3.1	3	15	21.4
Depreciation & Amortization	28.9	26.4	34.7	38.5	38
Chg. in Accounts Receivable	3.9	19.9	-2.8	(5.6)	(10.2)
Chg. in Inventory	(2.9)	0	2.9	(1.8)	(6.6)
Chg. in Pay. & Accrued Comp.	2.8	(0.4)	2.9	7	4.2
Cash from Operations	50.7	49	40.7	53.1	46.8
Capital Expenditures	(23.4)	(26.8)	(102.7)	(75.1)	(41.5)
Cash from Investing Activ.	(23.4)	(26.8)	(102.7)	(75.1)	(41.5)
Dividends Paid	(5.8)	(5.8)	(5.8)	(5.8)	(7.3)
Sale (or purchase) of stock	-	-	-	-	-
Debt Issuance (Pay Down)	-	-	73.9	24.6	-
Cash from Financing Activ.	(5.8)	(5.8)	68.1	18.8	(7.3)
Change in Cash	21.5	16.4	6.1	(3.2)	(2.0)
Mydeco Stock Price	$8.65	$3.62	$4.89	$8.92	$11.46

Question content area bottom

Part 1

a. What were Mydeco's retained earnings each year?

Calculate the retained earnings below: (Round to one decimal place.)

Year		2015
Net Income	$
Dividends Paid	$
Retained Earnings	$