Solve abc The owners' equity section for Syarikat Hatchi Chemical Berhad as at 1 January 2021 are asfollows:During 2021, the following transactions have occurred:13 March25 Jime8% Non-cumulative preference shares (35,000 units)Equity Shares (100,000 units)Retained Earnings30 July1 Sept15 Oct10 NovRequired:alC)d)RM700,000100,0001,105,000Issued 30,000 units of equity sharesfor cash at RM1.50 per share.Purchased a piece of land by paying RM250,000 cash and issued 25,000 unitsof 8% cumulative preference shares. The market price of the shares on that daywas RM12 per share.The Compan earned a net income of RM200,000 for the financial year ended December 31,2021Declared a cash dividend of RM100,000 to all preference and equityshareholders Business records show the company did not pay any cashdividend to preference shareholders in 2020.Declared a share dividend of 1 unit of equity sharefor every 10 units of equityshares issued as at this date. The market price of the equity shares as of thisdate was RM1.80 per shareMade cash dividendpan ments and share dividend distributionsIssued 25,000 units of equity shares to purchase two processing machinesvalued at RM20,000 each.Prepare the journal entries to record the transactions and net income.Show the calculation and distribution of cash dividend to all shareholders.Prepare the owner's equiry section in the statement offinancial position as at December31, 2021.Explain THREE (3) differences between equity share and preference share

Journal Entry Here to provide the journal entry for issue of common shares and preference shares and…

2021 Required: al c) di Prepare the journal entries to record the transactions and net income. Show the calculation and distribution of cash dividend to all shareholders. Prepare the owners' equity section in the statement offinancial position as at December 31, 2021 Explain THREE

2021 Required: al c) di Prepare the journal entries to record the transactions and net income. Show the calculation and distribution of cash dividend to all shareholders. Prepare the owners' equity section in the statement offinancial position as at December 31, 2021 Explain THREE

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter4: The Balance Sheet And The Statement Of Shareholders' Equity

Section: Chapter Questions

Problem 12E

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