Plants for Africa (Pty) Ltd is a company with branches situated all over South Africa, which stocks everything from pots, plants, trees and tools. The company has a 28 February year-end.

You have been provided with the following extract from the pre-adjusted trial balance as at 28 February 2022:

Notes:

Note 1. Share Capital: Class A On 28 February 2022, Plants for Africa (Pty) Ltd had 500 000 Class A shares of R1 each. The Class A shares have voting rights and no fixed distribution right.

Note 2. Share Capital: Class B On 28 February 2021, Plants for Africa (Pty) Ltd had 150 000 Class B shares of R2 each. On 1 September 2021, Plants for Africa (Pty) Ltd issued an additional 10 000 Class B shares at R2.50 per share.

The Class B shares have no voting rights and have a right to a fixed, cumulative distribution of 8% in preference of the Class A dividends.

Note 3. Dividends: The directors have recommended that the final Class B dividend for the year be accounted for. The directors declared a Class A dividend of 35 cents per share, the dividend payment was made on 20 March 2022.

Required -

1) Prepare the general journal entries required to process all the transactions in Note 3: Dividends in the records of Plants for Africa (Pty) Ltd for the financial year ended 28 February 2022.
 

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Account Share Capital: Class A Share Capital: Class B Dividends payable Notes 1 2 3 28 Feb 2022 Rand 500 000 325 000 ? 28 Feb 2021 Rand 500 000 300 000 Account Share Capital: Class A Share Capital: Class B Dividends payable Notes 1 2 3 28 Feb 2022 Rand 500 000 325 000 ? 28 Feb 2021 Rand 500 000 300 000