Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Blue Spruce Umbrella Corporation had the following balances at December 31, 2019 (all amounts in thousands): preferred shares, $ 3.045; common shares, $ 7,712; contributed

image text in transcribed

image text in transcribed

image text in transcribed

Blue Spruce Umbrella Corporation had the following balances at December 31, 2019 (all amounts in thousands): preferred shares, $ 3.045; common shares, $ 7,712; contributed surplus, $3,354; retained earnings, $ 20,049; and accumulated other comprehensive income, $ 1,982. During the year ended December 31, 2020, the company earned net income of $ 6,429,000, generated an unrealized holding gain on FV-OCI investments of $ 503,000, sold common shares of $257,000, and paid out dividends of $30,000 and $20,000 to preferred and common shareholders, respectively. Gains/losses on FV-OCl investments are not recycled through net income. (a1) Prepare a statement of changes in equity for the year ended December 31, 2020. (Enter amounts in thousands. Round answers to O decimal places, e.g. 5,275.) Preferred Shares Common Shares Contributed Surplus Beginning Balance $ $ Comprehensive Income: Net Income Other comprehensive income Unrealized Holding Gain Dividends to shareholders: Preferred Common Issue of Common shares Ending Balance $ Prepare the shareholders' equity section of the Blue Spruce Umbrella Corporation balance sheet as at December 31, 2020. (Enter amounts in thousands. Round answers to 0 decimal places, eg. 5,275.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Information And Equity Valuation Theory, Evidence, And Applications

Authors: Guochang Zhang

1st Edition

1461481597, 9781461481591

More Books

Students also viewed these Accounting questions

Question

How are new industries formed?

Answered: 1 week ago