CarFind Inc. showed the following equity information at December 31, 2022. Common shares, unlimited shares authorized; 4,400,000 shares issued and outstanding $ 1,027,500 Retained earnings 1,375,000 On April 1, 2023, 240, 000 common shares were issued at $0.70 per share. On June 1, the board of directors declared a 5% share dividend to shareholders of record on June 15; the distribution date was July 1. The market prices of the shares on June 1, June 15, and July 1 were $2.78, $1.86, and $2.56, respectively. On December 11, the board of directors declared a 2:1 share split to shareholders of record on December 15; the distribution date was December 20. Profit earned during the year was $1,457,500. Required: Prepare the company's equity section on the December 31, 2023, balance sheet.
CarFind Inc. showed the following equity information at December 31, 2022. Common shares, unlimited shares authorized; 4,400,000 shares issued and outstanding $ 1,027,500 Retained earnings 1,375,000 On April 1, 2023, 240, 000 common shares were issued at $0.70 per share. On June 1, the board of directors declared a 5% share dividend to shareholders of record on June 15; the distribution date was July 1. The market prices of the shares on June 1, June 15, and July 1 were $2.78, $1.86, and $2.56, respectively. On December 11, the board of directors declared a 2:1 share split to shareholders of record on December 15; the distribution date was December 20. Profit earned during the year was $1,457,500. Required: Prepare the company's equity section on the December 31, 2023, balance sheet.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
None
Transcribed Image Text:CarFind Inc. showed the following equity information at December 31, 2022.
Common shares, unlimited shares authorized; 4,400,000 shares issued and outstanding $ 1,027,500
Retained earnings 1,375,000
On April 1, 2023, 240, 000 common shares were issued at $0.70 per share. On June 1, the board of directors declared a
5% share dividend to shareholders of record on June 15; the distribution date was July 1. The market prices of the
shares on June 1, June 15, and July 1 were $2.78, $1.86, and $2.56, respectively. On December 11, the board of
directors declared a 2:1 share split to shareholders of record on December 15; the distribution date was December 20.
Profit earned during the year was $1,457,500.
Required:
Prepare the company's equity section on the December 31, 2023, balance sheet.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education