P18-2 Tabby Limited was incorporated on 15 February 20X6 with an authorised capital of C1 500 000 consisting of 1 000 000 ordinary shares and 500 000 8% non-redeemable preference shares In March 20X6 the directors issued: 100 000 ordinary shares to the incorporators for C1 each 600 000 ordinary shares to the public for C1,20 each 200 000 preference shares for C1 each The closing date for all applications was 25 April 20X6. The entire issue was underwritten by Felix Bank Limited for a commission of 2% of the issue price. The incorporators paid for their shares on 8 April 20X6. Applications were received from the public as follows: Ordinary shares - 1 500 000 shares Preference shares - 150 000 shares All the required application amounts were received by 25 April 20X6. On 30 April 20X6 the directors decided: To allot the preference shares in accordance with the applications. In the case of ordinary shares: 264 To allot all applications in the ratio of two shares for every five shares applied for To refund all excess application amounts on 1 May 20X6. Chapter 18 Companies Settlement with the underwriters took place on 3 May 20X6. The company's accounting policy is to set off share transaction costs against share capital. Profits for the period ended 30 September 20X6 amounted to C150 000. Total dividends of C20 000 were declared on 30 September 20X6. None of the shareholders were exempt from the 20% dividends tax. You are required to: a. Record all the above transactions in the journal of Tabby Limited. b. Prepare the equity section of the statement of financial position of Tabby Limited 30 September 20X6.