The 2018 statement of stockholders' equity for Walt Disney Co. is presented bel ow. (Disney includes both par value and additional paid-in capital under the heading " Common Stock." N oncontrolling interests have been excluded for simplicity, so the rows may not add up to the total shown. All Walt Disney co. amounts in millions.)

 

REQUIRED 

a. Did Disney issue any additional common shares in fiscal year 2018 (ending on September 29, 2018)? 

b. What was Disney's total comprehensive income in fiscal year 2018? 

c. Show how Disney recorded the purchase of treasury shares in fiscal year 2018 using the financial statement effects template. Prepare the journal entry and post to the related T-accounts. 

d. According to its statement of cash flows, Disney paid common dividends of $2,5 15 million in fiscal year 2018. What might be a possible explanation for the fact that dividends reduced retained earnings by $2,529 million?

Transcribed Image Text:

Balance at September 30, 2017..... Comprehensive income Shares 1,517 - Equity Attributable to Disney Accumulated Other Common Retained Comprehensive Treasury Stock Earnings Income (Loss) Stock $36,248 $(64,011) Equity compensation activity Common stock repurchases.. Dividends.... Contributions Distributions and other.. (1) Balance at September 29, 2018.... 1,488 $36,779 6 (35) 518 14 $72,606 $(3,528) 12,598 431 (2,529) 4 (3.577) $82,679 $(3,097) $(67,588) Total Disney Equity $41,315 13,029 518 (3,577) (2,515) 3 $48,773 Balance at September 30, 2017..... Comprehensive income Shares 1,517 - Equity Attributable to Disney Accumulated Other Common Retained Comprehensive Treasury Stock Earnings Income (Loss) Stock $36,248 $(64,011) Equity compensation activity Common stock repurchases.. Dividends.... Contributions Distributions and other.. (1) Balance at September 29, 2018.... 1,488 $36,779 6 (35) 518 14 $72,606 $(3,528) 12,598 431 (2,529) 4 (3.577) $82,679 $(3,097) $(67,588) Total Disney Equity $41,315 13,029 518 (3,577) (2,515) 3 $48,773

Answer rating: 100% (QA)

Total comprehensive income for the year Net Income for the year Other Comprehen... View the full answer