Cene Assignment 2 0 20.62/100 Toports de Help Explanation Show correct answers 3 Mady Entertainment Inc. showed the following equity account balances on the December 31, 2019, balance sheet 25 nts awarded Common shares, unlimited authorized Shares, 510,00 shares issued and outstanding Retained earnings $3,570,000 2.780,000 Scored During 2020, the following selected transactions occurred: Apr. 1 Repurchased and retired 142,000 comon shares at $7.40 per share; this is the first retirement recorded by Mady. June 1 Declared a 2:1 share split to shareholders of record on June 12, distributable June 30. Dec. 1 Declared a 10 share dividend to shareholders of record on December 10, distributable December 20. The market prices of the shares on December 1, December 10, and December 20 were $4.40, $4.16, and $4.30, respectively. 20 Distributed the share dividend declared December 1. 31 Closed the credit balance of $756,000 in the Income Summary account. Print rences Required: a. Journalize the transactions above (assuming the retirements were the first ever recorded by Mady Entertainment Inc.). The company does not use a share dividends account. (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit 1 April 01, 2020 2 June 01, 2020 3 December 01, 2020 4 December 20 2020 5 December 31 2020 Amount - Date Note Disclosure Anril 012020 ded b. Prepare the equity section on the December 31, 2020, balance sheet. MADY ENTERTAINMENT INC Equity Section of Balance Sheet December 31, 2020 Contributed capital: Total equity $ Explanation a. Apr. 1: Common Shares - (142,000 $700") - $994.000 Cash (142,000 $7.40) - $1,050.800 *$3,570,000/510,000 = $7.00 average issue price. Jun 1 Note disclosure to include the following: 2:1 share split: 510,000 - 142.000 363.0002000 shares issued and outstanding. Dec 1 736.000 shares