Problem:
Please show work to all answers as this is being used as a study guide. The book has provide the correct answers in which I provided below. Currently I am having trouble reconciling back to the right answer the book gave. Your help is appreciated.
The following is a statement of common shareholder' equity with some numbers missing (in millions of dollars)
Balance, December 31, 2005 ?
Net Income ?
Common Dividends (132)
Preferred Dividends (30)
Issue of common stock 155
Unrealized gain on securities held for sale 13
Foreign currency translation loss (9)
Balance, December 31, 2006 ?
Q1. The market value of the equity was $4,500 million at December 31, 2005 and $5,580 million at December 31, 2006. At both dates the equity traded at premium of $2,100 million over the book of the common equity. What was net income for 2006?
Q2. Fill out the missing numbers in the equity statement and reformulate it to identify comprehensive income for the common shareholders for 2006.