Synchronica Corp. reported the following equity account balances on December 31, 2013:

Common shares, unlimited shares authorized,

100,000 shares issued and outstanding........................................................ $ 960,000

Retained earnings............................................................................................. 1,296,000

The company completed these transactions during 2014:

Required
1. Prepare General Journal entries to record the transactions and closings for 2014.
2. Prepare the equity section of the company’s balance sheet as of December 31,2014.

Transcribed Image Text:

Jan. Mar 10 Purchased 20,000 treasury shares at $14.40 cash per share. 2 The directors declared a S1.80 per share cash dividend payable on March 31 31 11 25 to the March 15 shareholders of record Paid the dividend declared on March 2 Sold 12,000 of the treasury shares at $15.60 per share Sold 8,000 of the treasury shares at $11.40 per share. Nov. Dec 1 The directors declared a $3.00 per share cash dividend payable on January 2, 2015, to the December 10 shareholders of record Closed the $643,200 credit balance in the Income Summary account to Retained Earnings Closed the Cash Dividends account. 31 31