Pacifica Papers Inc. needed to conserve cash, so instead of a cash dividend the board of directors declared a 15% common share dividend on June 30, 2020, distributable on July 15, 2020. Because performance during 2020 was better than expected, the company's board of directors declared a $0.40 per share cash dividend on November 15, 2020, payable on December 1. 2020, to shareholders of record on November 30, 2020. The equity section of Pacifica's December 31, 2019, balance sheet showed: Common shares, unlimited shares authorized, 1,400,000 shares issued and outstanding Retained earnings $,968,008 1,700, e00 Return to question Required: 1. Journalize the declaration of the share dividend. The market prices of the shares were $14.80 on June 30, 2020, and $16.60 on July 15, 2020. Assume share dividends account is used when dividends are declared. Answer is complete but not entirely correct. Date General Journal Debit Credit No 1,036,000 June 30, 2020 Share dividends 1,036,000 3 Common share dividends distributable 2. Journalize the declaration of the cash dividend. Assume share dividends account is used when dividends are declared. Answer is complete but not entirely correct. General Journal Debit Credit No Date November 15, 202 Cash dividends 588,000 588,000 Common shares dividends payable 3. Prepare the equity section of the balance sheet at December 31, 2020, assuming profit earned during the year was $2,208,000, O Answer is complete but not entirely correct. PACIFICA PAPERS INC. Equity Section of Balance Sheet December 31, 2020 Contributed capital: Common shares, unlimited shares authorized, 1,610,000 shares issued and outstanding 19,320,000 76,000 Retained earnings Total equity 19,396,000