(62) Prepare a statement of changes in equity for 2020. Singh Company Statement of Changes in Equity Number of Common Shares Share Capital - Common Shares Retained Earnings $ $ eTexthod Singh Company started business on January 1, 2020. The following transactions occurred in 2020: 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. On January 1, the company issued 9.700 common shares for $242,500, On January 2, the company borrowed $51,200 from the bank. On January 3, the company purchased land and a building for a total of $220,000 cash. The land was recently appraised at a fair market value of $66,000. (Note: Because the building will be depreciated in the future and the land will not, these two assets should be recorded in separate accounts.) Inventory costing $131,000 was purchased on account. Sales to customers totalled $208,000. Of these, $175,000 were sales on account. The cost of the inventory that was sold to customers in transaction 5 was $121,300. Payments to suppliers on account totalled $116,000. Collections from customers on account totalled $155,000. Payments to employees for wages were $57,200. In addition, there was $1,600 of unpaid wages at year end. The interest on the bank loan was recognized for the year. The interest rate on the loan was 6%. The building was estimated to have a useful life of 30 years and a residual value of $22,000. The company uses the straight-line method of depreciation The company declared dividends of $7,500 on December 15, 2020, to be paid on January 15, 2021. 12