QUESTION 1 The following is the information extracted from the accounting records of Rainbow Bhd as at 1 January 2017: RM Preference Share, 5% 4 Issued and fully paid, 35,000 unit 700,000 Ordinary Share Issued and fully paid, 100,000 unit 100,000 Retained Earnings 1,105,000 During the year of 2017, the following transactions occurred:- 13 Mac 25 June Issued 30,000 unit ordinary shares at price RM1.50 per unite Issued 25,000 unit preference shares, 5% to acquire a land. The market price of the preference share on the date of issuance was RM12 per share. The market value of the land was estimated around RM285,000. Board of Directors declared the cash dividend RM500,000 to all preference and ordinary shareholders. + Updates the shareholders' record. 4 Paid the cash dividend. 30 Nov 1 Dec 15 Dec Net income of the Rainbow Bhd for the year ended 31 December 2017 is RM200,000.- Required: a) Show the journal entry to record all the above transactions. b) Show the Shareholders' equity part in the Statement of Financial Position as at 31 December 2017