On January 1, 2017, Copeland Ltd. (a public company) had the following shareholders' equity accounts:

Preferred shares, $5 non-cumulative, unlimited number authorized, none issued .......... -0-

Common shares, unlimited number authorized, 800,000 issued ...................... $5,600,000

Retained earnings ............................................................................. 1,323,000

Accumulated other comprehensive income .................................................. 142,000

The following selected transactions occurred during 2017:

Jan. 2 Issued 100,000 preferred shares at $100 per share.

Mar. 5 Declared the quarterly cash dividend to preferred shareholders of record on March 20, payable April 1.

Apr. 18 Issued 130,000 common shares at $11 per share.

June 5 Declared the quarterly cash dividend to preferred shareholders of record on June 20, payable July 1.

Sept. 5 Declared the quarterly cash dividend to preferred shareholders of record on September 20, payable October 1.

Dec. 5 Declared the quarterly cash dividend to preferred shareholders of record on December 20, payable January 1.

31 Net income for the year was $374,000.

Instructions

(a) Prepare journal entries to record the transactions above, as well as the closing entries for Income Summary and Dividends.

(b) Post the entries to the shareholders' equity and dividends T accounts.

(c) Prepare the statement of changes in shareholders' equity for the year.

(d) Prepare the shareholders' equity section of the statement of financial position at December 31.

(e) Prepare the financing activities section of the statement of cash flows for the year ended December 31.