For the year ended December 31, 2020, Bunsheim Ltd. reported the following: sales revenue $680,000; cost of sales $425,750; operating expenses $75,000; and unrealized gain on Available-for-sale investments $25,000 (net of related tax of $5,000). The company had balances as at January 1, 2020, as follows: common shares $480,000;

accumulated other comprehensive income $177,000; and retained earnings $50,000.

The company did not issue any common shares during 2020. On December 15, 2020, the board of directors declared a $45,000 dividend to its common shareholders payable on January 31, 2021. The company accounts for its investments in accordance with IFRS 9 meaning that any unrealized gains/losses on FVOCI investments are to be reported as other comprehensive income (OCI). On January 4, 2021, the company discovered that there was an understatement in travel expenses from 2019 of $80,000. The books for 2019 are closed.

Required

a. Prepare a statement of changes in equity including required disclosures. The enacted tax rate is 27% and has not changed for several years.

b. Prepare the same statement as in part

(a) assuming that Bunsheim Ltd. follows ASPE.