Example On November 1, the company issued 10,000 preferred shares to a private investor at a cost of $100 each. The shares have a mandatory redemption price of $100 per share, and each year 1,000 shares must be redeemed, commencing in 2027. The shares have a monthly dividend of $0.85, which is cumulative and must be paid on redemption. Required: Prepare a memo outlining the accounting and reporting alternatives for the transaction. Also include a discussion around the impact on the SFP and SCI for the year ended 20X4.