Question 4 (20 Marks) Mark Inc. has authorized share capital of an unlimited number of common shares and 900.000 preferred, S2 preferred shares. At January 1, 2019, the balance in its shareholders equity includes $56,000 in common shares representing 14,000 shares and S36,000 in preferred shares representing 4,500 shares and retained earnings of $128,000. Profit for the year ending December 31, 2019 was $27,000. No dividends were declared during 2019. During 2019, Mark Inc. had the following share transactions: Mar 1 Issued 8,000 common shares for $5 each. Jun 30 Issued 1000 preferred shares for $11 each. Sep 1 Issued 70,000 common shares in exchange for land valued at $350,000. Required: a) Journalize the share transactions. (8 marks) b) Prepare the equity section of Mark Inc. balance sheet at December 31, 2017 and describe any additional disclosure required related to share capital. (12 marks) Question 5 (20 marks) Required: Determine the cashflow for Operating, Financing and Investing activities for the company and calculate the net change in cash. Magna Ine had the following transaction during the current Financial reporting period (S72.000 SI7.000 S10600 SIBOX Net Loss Depreciation Decrease in accounts receivable Increase in inventories Increase in accounts payable Decrease in income taxes payable Decrease in wages payable Proceeds on Sale or Equipment Repayment of bonds Issuance of Common shares Proceeds on sale of land Loss on sale of land Payment of dividends $29.00 $13.600 $68.000 S82.000 $21.00 S92,00 $16.000 523, 2