Question

The following information was reported in the December 31, 2017, financial statements of National Airways, Inc. (listed alphabetically, amounts in millions). $ 4,345 650 9,4ee 3,040 1,255 3e 15.210 Accounts Payable Accounts Receivable Aircraft Fuel Expense Cash Common Stock Dividends Equipment Income Tax Expense Interest Expense Landing Fees Expense Notes Payable Repairs and Maintenance Expenses Retained Earnings (as of December 31, 2017) Salaries and Wages Expense Supplies Ticket Revenues 200 20e 3.800 6,935 1,902 7,030 335 215 2008 2. Prepare a statement of retained earnings for the year ended December 31, 2017 TIP Assume the balance in Retained Earnings WOS 55.405 milion) at January 1, 2017 (Enter your answers in millions (.e., 10.000.000 should be entered as 10.).)

Answer 1

Statemet of Retained Earnings
Retained Earnings, january 1, 2017	5,405
Add: Net Income (20,600-9400-260-200-3800-1900-3385)	1,655
Less : Dividends	(30)
Retained Earnings , Dec. 31, 2017	7,030

Balance Sheet
As on 21 December 2017
Assets
Cash	3,040
Supplies	715
Accounts Receivable	650
Equipment	15,210
Total Assets	19,615
Liabilities and Shareholders Equity
Liabilities:
Accounts Payable	4,345
Notes payable	6,985
Total Liabilities	11,330
Shareholders Equity
Common Stock	1,255
Retained Earnings	7,030
Total Stockholders equity	8,285
Total liabilities and stockholders equity	19,615