The shareholder’s equity of Monnaz Berhad as at 31 December 2019 is as follows:

RM

Retained Earnings 1,200,000 500,000 units 

Equity Shares 1,000,000 50,000 units 6% 

Cumulative Preference Shares 500,000

The followings are transactions related to equity throughout the year 2020.

Jan 20

Issued 50,000 units equity shares at RM3 per share for cash.

Feb 15

Issued 2,000 units 6% cumulative preference shares in consideration to the company's solicitor for the cost of company incorporation services amounting to RM25,000.

Mar 25

Issued 20,000 units of equity shares in return for acquiring a piece of land. The offer price of the land is RM85,000 but the market value is RM80,000.

Apr 20

Issued 4,000 units 6% cumulative preference shares at RM15 per share for cash.

May 31

Carried out a share split for equity shares 1:2.

June 22

Issued 60,000 units equity shares at M1.80 per share for cash.

Jul 31

Declared cash dividend of RM600,000 to all shareholders as per the records on 1

June 2020. A review of the records showed that no dividend was declared in 2019.

4

Aug 15

Declared share dividend of 10% on existing shares as of 1 June 2020. The market price of the shares on this date is RM2.50.

Sept 12

Updated records of preference and equity shareholders for dividend payment purposes.

Nov 30

Paid the cash dividend that was declared on 31 July and distributed the share dividend declared on 15 August.

Dis 31

Net profit for 2020 was RM420,000.

 

Prepare journal entries to record transactions throughout 2020 (omit explanation).