1. Calculate the closing balance of Share Capital Class A as it would appear in the Statement of Changes in Equity of TMJ Ltd for the year ended 31 October 2020. 2. Calculate the closing balance of Share Capital Class B as it would appear in the Statement of Changes in Equity of TMJ Ltd for the year ended 31 October 2020. 3. Prepare the Retained Earnings column as it would appear in the Statement of Changes in Equity of TMJ Ltd for the year ended 31 October 2020.

Ignore VAT Assume a company tax rate of 28%, dividends tax rate of 20%, CGT rate of 80%. TMJ ("TMJ") Ltd is a cosmetics company which buys and sells make up products. TMJ has a 31 October year end. The director of the company, Ms Hlengiwe, asked you to help complete the financial statements. You have been presented with the following information: Additional information: a) Share issue costs incurred on 1 September 2020, in relation to the issue of Class A shares, amounted to R85,500. The shares were issued on this date at the same price per share as the previous issue. There were 25,000 shares in issue at the beginning of the year. b) Class B shares were issued during the current financial year at an issue price of R5 on the 1 May 2020 . The share issue costs amounted to R45,000. c) All sales were made on credit. d) Income received in advance relates to sales. e) All inventory purchases were made on credit. All other expenses were purchased for cash. f) Gross profit amounted to R3,567,000. TMJ uses a 25\% mark up on cost price to calculate cost of sales g) The following was included in net operating expenses, which amounted to R2,130,000: h) Interest income earned amounted to R75,000 for the year. i) The directors declared Class A and Class B dividends at 31 October 2020. Class A dividends amounted to 15 cents per share. j) The dividends declared to the Class C shareholders had not been recorded yet. k) Tax assessment for 2019 year of assessment was received and amounted to R396,000. The current tax calculated for the same period amounted to R386,000. Profit before tax amounted to R1,430,000 and taxable income amounted to 97% of profit before tax