Espresso Corporation, a publicly traded company, is authorized to issue 212,000 $4 cumulative preferred shares and an unlimited number of common shares. On January 1, 2018, the general ledger contained the following shareholders' equity accounts: Preferred shares (7,600 shares issued) $418,000 Common shares (70,000 shares issued) 980,000 Contributed surplus 22,600 Retained earnings 726,000 Accumulated other comprehensive income 9,000 The following equity transactions occurred in 2018: Feb. 6 Apr. 6 27 May 29 Aug. 22 Issued 9,200 preferred shares for $561,200. Issued 20,000 common shares for $550,000. Reacquired and retired 2,900 common shares at $16 per share. Declared a semi-annual cash dividend to the preferred shareholders of record at June 12, payable July 1. Issued 8,900 common shares in exchange for a building. At the time of the exchange, the building was valued at $173,400 and the common shares at $159,000. The board of directors decided there were insufficient funds to declare the semi-annual dividend to the preferred shareholders. Net income for the year was $595,000. Dec. 14 31 Record the above transactions, including any entries required to close dividends and net income. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round average cost per share to 2 decimal palces, e.g. 2.25 and final answers to O decimal places.) Date Account Titles and Explanation Debit Credit June 12 A Dec. 14 Closing entries: Date Account Titles and Explanation Debit Credit Dec. 31 (To close net income/(loss).) Dec. 31 (To close dividends.) Prepare the statement of changes in equity for the year. (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) ESPRESSO CORPORATION Statement of Changes in Equity Share Capital Contributed Surplus Preferred Shares Common Shares Accumulated Other Comprehensive Income Retained Earnings Total Balance, Jan. 1 $ $ $ $ $ $ Issued preferred shares Issued common shares Repurchased common shares Dividends declared Net income Balance, Dec. 31 $ $ $ $ $ $ Espresso Corporation, a publicly traded company, is authorized to issue 212,000 $4 cumulative preferred shares and an unlimited number of common shares. On January 1, 2018, the general ledger contained the following shareholders' equity accounts: Preferred shares (7,600 shares issued) $418,000 Common shares (70,000 shares issued) 980,000 Contributed surplus 22,600 Retained earnings 726,000 Accumulated other comprehensive income 9,000 The following equity transactions occurred in 2018: Feb. 6 Apr. 6 27 May 29 Aug. 22 Issued 9,200 preferred shares for $561,200. Issued 20,000 common shares for $550,000. Reacquired and retired 2,900 common shares at $16 per share. Declared a semi-annual cash dividend to the preferred shareholders of record at June 12, payable July 1. Issued 8,900 common shares in exchange for a building. At the time of the exchange, the building was valued at $173,400 and the common shares at $159,000. The board of directors decided there were insufficient funds to declare the semi-annual dividend to the preferred shareholders. Net income for the year was $595,000. Dec. 14 31 Record the above transactions, including any entries required to close dividends and net income. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round average cost per share to 2 decimal palces, e.g. 2.25 and final answers to O decimal places.) Date Account Titles and Explanation Debit Credit June 12 A Dec. 14 Closing entries: Date Account Titles and Explanation Debit Credit Dec. 31 (To close net income/(loss).) Dec. 31 (To close dividends.) Prepare the statement of changes in equity for the year. (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) ESPRESSO CORPORATION Statement of Changes in Equity Share Capital Contributed Surplus Preferred Shares Common Shares Accumulated Other Comprehensive Income Retained Earnings Total Balance, Jan. 1 $ $ $ $ $ $ Issued preferred shares Issued common shares Repurchased common shares Dividends declared Net income Balance, Dec. 31 $ $ $ $ $ $
