Requirement: Based on information above, 1. Prepare the statement of Stockholders' Equity extract of Bank of Kigali on December 31, 2020 2. Prepare the statement of Stockholders' Equity extract of Bank of Kigali on December 31, 2021 3. How many will be outstanding stocks by December 31, 2021?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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On September 5, 2020, Bank of Kigali receives subscriptions for 65,000 shares of Frw10,000 par
common stock at Frw15,000 per share. The subscription terms require a down payment of 40%,
with the remainder of the purchase price to be paid in three equal installments, the first
installment to be paid in the mid of December, 2020, the second to be paid during the First week
of March, 2021, the third and last installment to be paid in last week of November, 2021.
Akenes and Kennels Ltd, the subscriber of 15,000 shares failed to pay the last installment of the
subscription, and decision was to Issue shares to the defaulting subscriber based on the amount
paid in. The financial year ends every December 31.
Requirement: Based on information above,
1. Prepare the statement of Stockholders' Equity extract of Bank of Kigali on December 31,
2020
2. Prepare the statement of Stockholders' Equity extract of Bank of Kigali on December 31,
2021
3. How many will be outstanding stocks by December 31, 2021?
Transcribed Image Text:On September 5, 2020, Bank of Kigali receives subscriptions for 65,000 shares of Frw10,000 par common stock at Frw15,000 per share. The subscription terms require a down payment of 40%, with the remainder of the purchase price to be paid in three equal installments, the first installment to be paid in the mid of December, 2020, the second to be paid during the First week of March, 2021, the third and last installment to be paid in last week of November, 2021. Akenes and Kennels Ltd, the subscriber of 15,000 shares failed to pay the last installment of the subscription, and decision was to Issue shares to the defaulting subscriber based on the amount paid in. The financial year ends every December 31. Requirement: Based on information above, 1. Prepare the statement of Stockholders' Equity extract of Bank of Kigali on December 31, 2020 2. Prepare the statement of Stockholders' Equity extract of Bank of Kigali on December 31, 2021 3. How many will be outstanding stocks by December 31, 2021?
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