Hide Ltd, a company whose principal interests are in the manufacture of fine leather shoes and handbags, was formed on 1 January 2013. Its financial year is a calendar year. Prior to the 2016 period, Hide Ltd had issued 110 000 ordinary shares as follows:

• 95 000 30 shares were issued for cash on 1 January 2013
• 5000 shares were exchanged on 1 February 2014 for a patent that had a fair value at date of exchange of 240 000
• 10 000 shares were issued on 13 November 2015 for 50 per share.

At 1 January 2016, Hide Ltd had a balance in its retained earnings account of 750 000, while the general reserve and the asset revaluation surplus had balances of 240 000 and 180 000, respectively. The purpose of the general reserve is to reflect the need for the company to regularly replace certain pieces of the shoe-making machinery to reflect technological changes.

During the 2016 financial year, the following transactions occurred:

1	Feb. 15	Hide Ltd paid a 25 000 dividend that had been declared in December 2015. Liabilities for dividends are recognised when they are declared by the company.
2	May 10	10 000 shares at 55 per share were offered to the public. These were fully subscribed and issued on 20 June 2016. On the same date, another 15 000 shares were placed with major investors at 55 per share.
3	June 25	The company paid a 20 000 interim dividend.
4	June 30	The company revalued land by 30 000, increasing the asset revaluation surplus by 21 000 and the deferred tax liability by 9000.
5	July 1	The company early adopted IFRS 4 in relation to insurance. The transitional liability on initial adoption was 55 000 more than the liability recognised under the previous accounting standard. This amount was recognised directly in retained earnings.
6	July 22	Hide Ltd repurchased 5000 shares on the open market for 56 per share. The repurchase was accounted for as treasury shares.
7	Nov. 16	Hide Ltd declared a 1-for-20 bonus issue to shareholders on record at 1 October 2016. The general reserve was used to fund this bonus issue. The share bonus is valued at 56 per share
8	Dec. 31	Hide Ltd calculated that its profit for the 2016 year was 150 000. It declared a 30 000 final dividend (which was authorise for payment on that day), transferred 40 000 to the general reserve, and transferred 30 000 from the asset revaluation surplus to retained earnings.

Required

1. Prepare T accounts for share capital and reserves opening balances. The following resource shows how to prepare T accounts: https://corporatefinanceinstitute.com/resources/knowledge/accounting/t-accounts/

2. Prepare the general journal entries to record the above transactions. Always number your journals and write a proper narration so you dont miss anything and can easily go back and check what you have done.
3. Post your journal entries to the T accounts, numbering journal entries. Total your T accounts to calculate closing balances.
4. Prepare the statement of changes in equity for Hide Ltd for the year ended 31 December 2016 in the below format. Cross-check closing balances with your T accounts. Use Vocus group accounts for ideas for wording your line items.

Statement of changes in equity

	Share capital	General reserve	Asset revaluation res	Treasury shares	Retained earnings
Opening balance 1 January 2016
Closing balance 31 December 2016