At 30 June 2022, the share capital of Shire Ltd was comprised of:

 

1,600,000 ordinary shares issued in 2018 and paid to $2.60 per share less share issue costs of $32,000.

750,000 ordinary shares issued in 2021 at an issue price of $3.40 and paid to $2.70, per share less share issue costs of $27,000.

During the year ending 30 June 2023 the following transactions and events occurred:

a) A dividend of $421,000 was paid on 15 August 2022 from retained earnings. This dividend had been declared on 29 June 2022 and required no further authorization or approval.

b) On 12 September 2022, the Directors made a call of $0.70 per share in relation to the shares issued in 2021. By 1 December 2022, all call moneys in relation to the call made on 12 September 2022 were received.

c) An interim dividend of 6 cents per share was declared and paid on 3 March 2023 from retained earnings.

d) On 30 June 2023, the Directors declared a dividend of 9 cents per share from retained earnings. This required no further authorization or approval and was expected to be paid following the AGM to be held on 9 August 2023.

REQUIRED

1) Prepare the general journal entries required to account for the transactions and events described in (a) ~ (d) for the year ending 30 June 2023. Narrations are not required. Show all your working/calculations. [7 marks]

2) In relation to the share capital of Shire Ltd, please prepare the Note required under AASB 101 and identify the accounting standard (including the paragraph number) requiring any note. You also need to provide the closing balance of share capital of Shire Ltd. You need to prepare the note itself - not explain what is required to be disclosed.