Green Corporation is authorized to issue 900,000 common shares. The company started its business in 2014 and initially issued 248,000 common shares at $8/share. During 2016 Green corporation issued additional common shares of 165,000 at a price of $10/share. 

From 2014 till 2019 Green Corporation eared a total net income of $685,000. Over these 6 years they paid out a total of $75,000 cash dividend. In 2019 Green Corporation distributed 8% stock dividend based on the market price of the company share at $12. Green Corporation's balance sheet on Dec 31, 2019 show's total assets of $5,985,000 and liabilities of $2,530,680. 

Calculate the shareholders equity for Green corporation by showing complete calculation of common shares/share capital and the retained earnings for Dec 31, 2019. 

Answer rating: 100% (QA)

Share Capital Retained Earnings Total 2014 Issue of 248000 common ... View the full answer