For this assignment, you are engaged in the audit of Simon Corp, a new client.You are auditing the equity accounts for its first fiscal year ended, April 30, 20X1.Two files are included below.The first is the assignment information, and the second is the excel template where you will record your answers.

Assignment information

Assignment Answer Template- download this file to your computer.Enter your answers and save your file in the following format,Lastname_Equity.Upload your completed file to this link.

A few hints as you analyze the Equity activity for this client and consider anyProposed Adjusting Journal Entries(PAJE's)

• The Directors' minutes will show authorization for the activity in the various capital accounts (issuing stock and repurchasing stock). Hint- these entries are recorded properly.
• Simon declared a stock dividend -consider the treatment of stock dividends -Is this a small stock dividend or large stock dividend?Was it recorded properly?
• Simon incurred stock issuance costs - consider how Simon recorded these costs - did they record them properly?

A comment about PAJE's.You must be able to analyze "what should have been recorded" vs. "what the client recorded".The difference is the PAJE.This is what I am asking you to determine.

Ch 15 Stockholders' Equity You are engaged in the audit of Simon Corp, a new client, at the close of its first scal year, April 30, 20X1. The accounts had been closed before the time you began your year-end eldwork. You review the following stockholders' equity accounts in the ledger: Capital Stock 5/1/X0 CR1 500,000 4IZBIX1 J12-5 50,000 Paidein Capital in Excess of Stated Value 511/)(0 CR1 250,000 2/2/X1 CR1O 2.500 4128/)(1 J12-5 50,000 4/30IX1 J12-14 800,000 9114010 CPS 80,000 2/21)\" CR10 40,000 Income Summary 4130/X1 J12-13 5.200.000 4130!)\" J12-12 6,000,000 4130/)(1 J12-14 800,000 Other information in your working papers includes the following: a. Simon's articles of incorporation led April 17, 20x0, authorized 100,000 shares of no par-value capital stock. b. Directors' minutes include the following resolutions: 0 4/ 18/X0 0 4/30/X0 9/ 13/X0 o 2/ 1/X1 I 4/28/X1 Established $50 per share stated value for capital stock. Authorized issue of 10,000 shares to an underwriting syndicate for $75 per share. Authorized acquisition of 1,000 shares from a dissident holder at $80 per share. Authorized reissue of 500 treasury shares at $85 per share. Declared 10% stock dividend, payable May 18, 20X1 to stockholders of record May 4, 20x1. c. The following costs of the May 1, 20X0 and February 2, 20X1, stock issuanees were charged to the named expense accounts; Printing expense, $2,500, Legal fees, $17,350, Accounting fees $12,000, SEC fees, $150 d. Market values for Simon Corp capital stock on various dates were: 9/13/X0 $78.50 2/2/X1 $85.00 9/14/X0 $79.00 4/28/X1 $90.00 I. Using the information provided on the Assignment Instruction file, record the PAJE's in the Journal below. Hint, you will have 2 PAJE's. 2. Afer you record your PAJE's, determine the revised amounts in the equity accounts. Hint, use Proposed Adjusting Journal Entries your T-Accounts to analyze! Date Account Debit Credit Using these new amounts, prepare a partial balance sheet (SE section only) below Balance Sheet (SE section only) April 30, 20X1 Stockholders equity: Capital Stock Stock dividend distributable Paid-in capital in excess of stated value Total paid-in capital Retained earnings Less: Treasury Stock Total stockholders' equity In this column, enter In this column, enter the amounts in this the number of shares column. This is after information for the the PAJE's you related line item