PhoneFind showed the following equity information at December 31, 2022: Common shares, unlimited shares authorized: 4,000,000 shares issued and outstanding Retained earnings $ 1,004,480 1,312,000 On April 1, 2023,200,000 common shares were issued at $0.60 per share. On June 1, the board of directors declared a 15% 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 $2.08, $1.76, and $1.96, 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 $1,400,000. Required: Prepare the company's equity section on the December 31, 2023, balance sheet.
PhoneFind showed the following equity information at December 31, 2022: Common shares, unlimited shares authorized: 4,000,000 shares issued and outstanding Retained earnings $ 1,004,480 1,312,000 On April 1, 2023,200,000 common shares were issued at $0.60 per share. On June 1, the board of directors declared a 15% 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 $2.08, $1.76, and $1.96, 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 $1,400,000. 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
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Transcribed Image Text:PhoneFind showed the following equity information at December 31, 2022:
Common shares, unlimited shares authorized:
4,000,000 shares issued and outstanding
Retained earnings
$
1,004,480
1,312,000
On April 1, 2023,200,000 common shares were issued at $0.60 per share. On June 1,
the board of directors declared a 15% 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 $2.08, $1.76, and
$1.96, 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 $1,400,000.
Required:
Prepare the company's equity section on the December 31, 2023, balance sheet.
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