The davidson corporation's balance sheet and income statement are provided below. answer the following questions:

a. construct the statement of stockholders’ equity for december 31, 2016. no common stock was issued during 2016.

b. how much money has been reinvested in the firm over the years?

c. at the present time, how large a check could be written without it bouncing?

d. how much money must be paid to current creditors within the next year?

show all of your work and formulas for how you arrived at your answers.

balance sheet as of december 31, 2016 (millions of dollars)

assets

liabilities and equity

cash and equivalents

$15

accounts payable

$120

accounts receivable

515

accruals

280

inventories

880

notes payable

220

total current assets

$1,410

total current liabilities

$620

net plant and equipment

2,590

long-term bonds

1,520

total liabilities

$2,140

common stock (100 million shares)

260

retained earnings

1,600

common equity

$1,860

total assets

$4,000

total liabilities and equity

$4,000

income statement for year ending december 31, 2016 (millions of dollars)

sales

$6,250

operating costs excluding depreciation and amortization

5,230

ebitda

$1,020

depreciation and amortization

220

ebit

$800

interest

180

ebt

$620

taxes (40%)

248

net income

$372

common dividends paid

$146

earnings per share

$3.72