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QUESTION $3-23$ Marks

Samstung Corporation has been in business for $15$ years and prepares its reports using IFRS. On the first day

of its fiscal year $($January $1,2023)$ they had $400,000$ issued common shares at $$1,000,000.$ Contributed surplus$-$

reacquisition of common shares was $$5,000.$ Retained earnings amounted to $$200,000.$ Accumulated other

comprehensive loss was $$15,000.$ Samstung has a tax rate of $30\%.$

During the year, there were the following transactions related to shares:

Jun. $22$ Samstung purchased a vehicle in exchange for $20,000$ common shares with a market value

of $$2\mathrm{.}20$ per share. The fair value of the vehicle was $$50,000.$

Oct. $9$ Samstung reacquired $50,000$ common shares for $$3\mathrm{.}00$ per share.

Dec. $10$ Samstung's board of directors declared a $10\%$ stock dividend to the common shareholders of

record on December $30,$ distributable January $20,2024.$ The market price of the common shares at

December $10,$ was $$2\mathrm{.}80$ per share.

Dec. $31$ Determined that profit was $$200,000($after tax$)$ and other comprehensive income $($before tax$)$ on equity

investments was $$42,000.$

REQUIRED:

Journalize the $2023$ transactions and the applicable closing entries.

On page $5,$ prepare the Statement of Changes in Shareholders' Equity for the year ended December $31,2023.$

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