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Below is the statement of shareholder's equity of Kenobi Ltd.: December 31, 20194 Shareholders' equity Preference share capital (2,000 shares) $98,000 Ordinary share capital (5,500
Below is the statement of shareholder's equity of Kenobi Ltd.: December 31, 20194 Shareholders' equity Preference share capital (2,000 shares) $98,000 Ordinary share capital (5,500 shares) 120,000 Retained profits 450,000 Total shareholders' equity 668,000 The following transactions happen during 2020:4 (a) Apr 3: Issuance of ordinary shares 1,200 shares @ $30 per share (b) June 9: Repurchase 750 shares of preference share at $42 per share, out of share capital- (c) Dec 13: Issue 4 bonus ordinary shares for each 10 ordinary shares. The company has decided to capitalize 1/5 of its retained profits for this bonus share issuance. (d) Net income is $92,400 for the year. Required: Prepare the Statement of Changes of Shareholders' Equity and Statement of Shareholders' Equity for year 2020. &
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