Based on the below information prepare a statement of shareholders’ equity in a proper format for Rams Ltd. for the year ended December 31, 2020. Rams Ltd. reported the following balances at January 1, 2020: Common shares................................................................................ $370,000 Preferred shares................................................................................ 74,000 Contributed surplus ........................................................ 65,000 Retained earnings............................................................................. 70,000 Accumulated other comprehensive income..................................... 71,000 Rams’ corporate tax rate .................................................................. 31.5% During the year, Rams performed the following: 1. The cumulative effect of the change from straight-line to accelerated depreciation resulted in a reduction to retained earnings of $35,000, before tax. 2. Issued common shares for a proceed of $73,000. 3. Retired 25% of preferred shares outstanding. 4. Earned net income of $496,000 and, 5. Generated other comprehensive income of $22,000. 6. Declared total dividend of $198,400. Prepare a statement of shareholders’ equity in a proper format for Rams Ltd. for the year ended December 31, 2020. Please dont provide solution image based thanku

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Based on the below information prepare a statement of shareholders’ equity in a proper format for Rams Ltd. for the year ended December 31, 2020. Rams Ltd. reported the following balances at January 1, 2020: Common shares................................................................................ $370,000 Preferred shares................................................................................ 74,000 Contributed surplus ........................................................ 65,000 Retained earnings............................................................................. 70,000 Accumulated other comprehensive income..................................... 71,000 Rams’ corporate tax rate .................................................................. 31.5% During the year, Rams performed the following: 1. The cumulative effect of the change from straight-line to accelerated depreciation resulted in a reduction to retained earnings of $35,000, before tax. 2. Issued common shares for a proceed of $73,000. 3. Retired 25% of preferred shares outstanding. 4. Earned net income of $496,000 and, 5. Generated other comprehensive income of $22,000. 6. Declared total dividend of $198,400. Prepare a statement of shareholders’ equity in a proper format for Rams Ltd. for the year ended December 31, 2020.

Please dont provide solution image based thanku

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