Question

What portion of equity comes from contributed capital and what portion is from earnings retention? Where can we find this from Starbucks financial statements?

Answer 1

Well,

Contributed capital is a part of total amount of equity in organization. Generally it is posted under the stockholders equity or it can be splitted with paid in capital account and common stock account.

Earning retention or retained earning are earnings which are retained in the company for reinvestments. Each company has it's own requirements so they take whatever the required amount as retained earnings.

Starbucks:

It is been added as common stock and additional paid in capital under the head of shareholders equity in the consolidated balance sheet.

In September 2019, it is showing 41.1million as additional paid in capital and common stock of 1.2million.

Retained earning are showing just below the additional paid in capital and it is showing a deficit.

That is ( 5771.2) in millions