The equity section from the December 31, 2023 balance sheet of Kentucky Corporation appeared as follows: 2024 2023 Contributed capital:      Common shares, 51,000 shares authorized; 27,600 and 25,000 shares issued and outstanding, respectively.$837,200 $735,000 Retained earnings 591,000  554,300   The following transactions occurred during 2024 (assume the retirements were the first ever recorded by Kentucky): Jan. 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. Mar. 20 2,000 common shares were repurchased and retired at $29.40 per share. Apr. 5 A $1.00 per share cash dividend was declared, and the date of record was five days later. July 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. July 31 A 20.00% share dividend was declared when the market value was $35.00 per share. Aug. 14 The share dividend was issued. Oct. 5 A $1.80 per share cash dividend was declared, and the date of record was five days later. Required:   2. How much profit did the company earn during 2024?   3. Prepare the statement of changes in equity for the year ended December 31, 2024. (Deductible values should be indicated by a minus sign.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The equity section from the December 31, 2023 balance sheet of Kentucky Corporation appeared as follows:

2024 2023 Contributed capital:      Common shares, 51,000 shares authorized; 27,600 and 25,000 shares issued and outstanding, respectively.$837,200 $735,000 Retained earnings 591,000  554,300  



The following transactions occurred during 2024 (assume the retirements were the first ever recorded by Kentucky):

Jan. 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. Mar. 20 2,000 common shares were repurchased and retired at $29.40 per share. Apr. 5 A $1.00 per share cash dividend was declared, and the date of record was five days later. July 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. July 31 A 20.00% share dividend was declared when the market value was $35.00 per share. Aug. 14 The share dividend was issued. Oct. 5 A $1.80 per share cash dividend was declared, and the date of record was five days later.



Required:

 



2. How much profit did the company earn during 2024?

 



3. Prepare the statement of changes in equity for the year ended December 31, 2024. (Deductible values should be indicated by a minus sign.) 

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