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On January 1, 2020, Sunshine International Inc.'s contributed capital consisted of common shares (1,000,000 shares authorized, 500,000 shares issued), and $3.00, cumulative preferred shares (100,000
On January 1, 2020, Sunshine International Inc.'s contributed capital consisted of common shares (1,000,000 shares authorized, 500,000 shares issued), and $3.00, cumulative preferred shares (100,000 shares authorized, 40,000 shares issued). There were no dividends in arrears pertaining to the preferred shares. During 2020, Sunshine International Inc. completed the following transactions: June 30 July. 31 September 15 Declared a cash dividend of $200,000. The date of record was July 15, and the payment date was July 31. Paid the cash dividends. Discovered an accounting error pertaining to $50,000 (before tax) of employee vacation pay for the 2019 fiscal year that had not been accrued at the end of 2019. Sunshine has a corporate income rate of 20%. Declared a 5% stock dividend on common shares. The market value of the common shares at the time was $9.00 per share. The record date was November 15, with the distribution set for December 1. Issued the stock dividend shares. Reported $650,000 of net after-tax profit for the year. November 1 December 1 December 31 Required Journalize the transactions noted above and any year-end closing entries that are required. Please date your journal entries but explanations are not required. Show you calculations for part marks. Accounts - No explanations are required Debits Credits Date
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