Pharma Shop Ltd. is a mid-sized public company that had been in operation for many years. On December 31, 2019, it had an unlimited number of common shares authorized and 6,700,000 shares issued at an average value of $25 per share. As well, there were 6,500,000 preferred shares authorized, with 325,000 of them issued at $15 per share. The balance in retained earnings was $26,650,000. The balance in accumulated other comprehensive income was $520,000. The preferred shares pay an annual dividend of $2 per share. During 2020, the following transactions affected shareholders' equity! 1. 2. 3. In total, 170,000 newcommon shares were issued at $30 per share. The preferred dividend for the year was declared and paid. A 10% common stock dividend was declared when the market price was $33 per share. The shares were distributed one month after thedeclaration. In early December 2020, a dividend of $1.60 per share was declared on thecommon shares. Thedate of record was December 15, 2020. Thedividend will be paid the following year. Thecompany earned a net income of $14,860,000 and had another comprehensive loss of $155,000. . 4. S. 6. On December 31, 2020, thecompany declared a two-for-one stock spliton common shares. Use a spreadsheet ortable format like the one in the first practice problem to track all ofthechanges in the shareholders'equity accounts in 2020. (If an amount reduces the account balance then enter with negative sign, e.g.-15,000 or in parenthesis, e.g. (15,000).) Number of N CO E Date shares Common Shares Dec 31, 2019 1. issued common shares 2. preferred share dividends 3. 10% stock dividend oncommon shares 4.common sharedividend Sa. net income for year D Sb. other comprehensivelloss) for year 6. two-for-one stock splitoncommon shares Dec 31, 2020 Use a spreadsheetortableformat like theone in the first practice problem to track all of thechanges in the shareholders' equity accounts in 2020. (If an amount reduces the account balance thenerter with negative sign, e.g.-15,000 or in parenthesis, e.g. (15,000).) Number of preferred Shares Preferred shares Retained Earnings Accumulated other comprehensive income $ $ Total Prepare the statement of changes in shareholders' equity for 2020 and the shareholders' equity section of the statement of financial position as at the end of 2020. (Hint: The statement of changes in shareholders' equity will be similar to the tablefrom part "a" but similar transactions, such as dividends, will be grouped into oneline.) ffonamount reduces the account balance thererter with negative signl, e.g.-15,000 or in parenthesis, e.g. (15,000). E Statement of C Year En Number of common shares Number of preferred shares Common Shares Dec. 31, 2019 $ Common shares issued Cash dividends - Stockdividend -common shares Net income Other comprehensive loss Stock spliton common shares Dec. 31, 2020 $ Prepare the statement of changes in shareholders' equity for 2020 and the shareholders' equity section of the statement of financial position as at the end of 2020. (Hint: The statement of changes in shareholders' equity will be similar to the table from part "a"but similar transactions, such as dividends, will begrouped into oneline.) If an amount reduces the account balance then enter with negative sign, e.g. -15,000 or in parenthesis, e.g. (15,000).) Pharma Shop Ltd. Statement of Changes in Shareholders' Equity Year Ended December 31, 2020 Number of preferred Preferred shares Shares Retained Earnings Accumulated other comprehensive income $ $ Total Pharma Shop Ltd. Statement of Shareholders' Equity December 31, 2020 $