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Problem 13-4B Dividends, share dividend, share split, statement of changes in equity LO1,5 CHECK FIGURE: 2. Dec 31, 2020 Retained earnings = $1,565,600 Preferred shares, $2 non-cumulative, unlimited shares authorized Common shares, unlimited shares authorized, 100,000 shares issued and outstanding.. The equity accounts for Kalimantan Corp. showed the following balances on December 31, 2019: The company completed these transactions during 2020: CHAPTER 13 Corporate Reporting: Profit, Earnings Per Share, and Retained Earrings -0- 640,000 864,000 Retained earnings Jan 10 15 Feb. Mar 15 2 31 10 Issued 20,000 common shares at $9.60 cash per share. The directors declared a 10% share dividend to the January 30 shareholders of record, distributable on February 15. The market price of the shares on January 15 was $9.80. Distributed the share dividend. The directors declared a $1.20 per share cash dividend payable on March 31 to the March 15 shareholders of record. Paid the dividend declared on March 2. The directors announced a 3:1 share split to the April 20 shareholders of record. The shares were trading just prior to the announcement at $10.00 per share. Issued 12,000 preferred shares at $20.00 per share. The board of directors declared total dividends of $182,400 payable December 15, 2020. Paid the dividends declared on December 1. Closed the $1,160,000 credit balance in the Profit Summary account. Closed the Cash Dividends account. Apr. Nov. Dec 1 15 31 31 Required 1. Prepare general journal entries to record the transactions and closings for 2020. 2. Prepare the statement of changes in equity for the year ended December 31, 2020

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