The equity section from the December 31, 2023 balance sheet of Kentucky Corporation appeared as follows: 2024 2023 Contributed capital: Common shares, 51,000 shares authorized; 27,600 and 25,000 shares issued and outstanding, respectively.$837,200 $735,000 Retained earnings 591,000 554,300 The following transactions occurred during 2024 (assume the retirements were the first ever recorded by Kentucky): Jan. 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. Mar. 20 2,000 common shares were repurchased and retired at $29.40 per share. Apr. 5 A $1.00 per share cash dividend was declared, and the date of record was five days later. July 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. July 31 A 20.00% share dividend was declared when the market value was $35.00 per share. Aug. 14 The share dividend was issued. Oct. 5 A $1.80 per share cash dividend was declared, and the date of record was five days later. Required: 2. How much profit did the company earn during 2024? 3. Prepare the statement of changes in equity for the year ended December 31, 2024. (Deductible values should be indicated by a minus sign.)
The equity section from the December 31, 2023 balance sheet of Kentucky Corporation appeared as follows:
2024 2023 Contributed capital: Common shares, 51,000 shares authorized; 27,600 and 25,000 shares issued and outstanding, respectively.$837,200 $735,000
The following transactions occurred during 2024 (assume the retirements were the first ever recorded by Kentucky):
Jan. 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. Mar. 20 2,000 common shares were repurchased and retired at $29.40 per share. Apr. 5 A $1.00 per share cash dividend was declared, and the date of record was five days later. July 5 A $1.60 per share cash dividend was declared, and the date of record was five days later. July 31 A 20.00% share dividend was declared when the market value was $35.00 per share. Aug. 14 The share dividend was issued. Oct. 5 A $1.80 per share cash dividend was declared, and the date of record was five days later.
Required:
2. How much profit did the company earn during 2024?
3. Prepare the statement of changes in equity for the year ended December 31, 2024. (Deductible values should be indicated by a minus sign.)
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