Kaye Biotech Inc. had the following equity account balances at

Kaye Biotech Inc. had the following equity account balances at December 31, 2019:

Preferred shares, $2.50, non-cumulative,
Authorized: 20,200 shares
Issued and outstanding: 5,100 shares ................................................. $ 35,700
Common shares,
Authorized: Unlimited
Issued and outstanding: 85,500 shares ................................................. 289,387
Retained earnings ...................................................................................... 41,000


On February 1, 2020, 5,100 preferred shares were issued at $7.80 each. The board of directors declared and paid the annual cash dividend on the preferred shares on June 30, 2020, and a 10% common share dividend was declared and distributed on the same day when the market price per common share was $4.25. On October 1, 2020, 20,200 common shares were issued at $4.39 each. Profit earned during 2020 was $409,800.


Required

Using the information provided, prepare the statement of changes in equity for the year ended December 31, 2020.

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...

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