CarFind Inc. showed the following equity information at December 31, 2019. Common shares, unlimited shares authorized;...

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CarFind Inc. showed the following equity information at December 31, 2019. Common shares, unlimited shares authorized; 4,900,000 shares issued and outstanding Retained earnings $1,045,000 1,385,000 On April 1, 2020, 290,000 common shares were issued at $1.00 per share. On June 1, the board of directors declared a 15% share dividend to shareholders of record on June 15; the distribution date was July 1. The market prices of the shares on June 1, June 15, and July 1 were $3.28, $2.16, and $2.86, respectively. On December 11, the board of directors declared a 2:1 share split to shareholders of record on December 15; the distribution date was December 20. Profit earned during the year was $1,645,000. Required: Prepare the company's equity section on the December 31, 2020, balance sheet. CARFIND INC. Equity Section of Balance Sheet December 31, 2020 Contributed capital Common shares, unlimited shares authorized, 11,937,000 shares issued and outstanding Retained earnings Total equity CarFind Inc. showed the following equity information at December 31, 2019. Common shares, unlimited shares authorized; 4,900,000 shares issued and outstanding Retained earnings $1,045,000 1,385,000 On April 1, 2020, 290,000 common shares were issued at $1.00 per share. On June 1, the board of directors declared a 15% share dividend to shareholders of record on June 15; the distribution date was July 1. The market prices of the shares on June 1, June 15, and July 1 were $3.28, $2.16, and $2.86, respectively. On December 11, the board of directors declared a 2:1 share split to shareholders of record on December 15; the distribution date was December 20. Profit earned during the year was $1,645,000. Required: Prepare the company's equity section on the December 31, 2020, balance sheet. CARFIND INC. Equity Section of Balance Sheet December 31, 2020 Contributed capital Common shares, unlimited shares authorized, 11,937,000 shares issued and outstanding Retained earnings Total equity

Answer rating: 100% (QA)

To prepare the companys equity section of the balance sheet as of December 31 2020 we need to take into account the changes in equity due to share iss... View the full answer