Question

On 31 December 20X5, ABC company is a public headquartered in Vancouver. the post-closing trial balance...

On 31 December 20X5, ABC company is a public headquartered in Vancouver. the post-closing trial balance included the following accounts ( in thousands of Canadian dollars.

Debit Credit
Investment in Mongolian subsidiary $72,000
Provision for future site restoration $34,000
Common share 170,000
Translation differential from Mongolian subsidiary 12,000
Convertible bonds 85,000
Equity portion of convertible bonds 5,000
Contributed surplus premium on common shares issued 35,000
Goodwill from purchase of Mongolian subsidiary 18,000
Investment in shares of upstream affiliate 36,000
Retained Earning 533,000
Trademarks 6,800

The following transactions and events occurred during 20X6.

1. Net income amounted to $47 million.

2. The value of trademarks was written off after ABC lost a patent protection lawsuit.

3. An additional $1.5 million of convertible bonds was transferred from the debt portion to the equity portion.

4. An accounting policy was changed due to a new IFRS taking effect in 20X6. the effect of retrospective restatement was reduced prior years earning by an aggregate amount of $31 million

5. The future liability for site restoration was increased by $5million.

6. Common shares with a stated value of $15 million were repurchased on the open market for $20 million and canceled. The original issue price of the shares amounted to $18 of which $3million had been credited to contributed surplus.

7. A new class of preferred shares was issued to a major public sector pension plan for $85 million to finance future development.

8. Dividends totaling $24 million were issued during the year. Of that amount, $6 million were declared on 24 December 20X6, payable to shareholders of record on January 15, 20X7.

9. The translated amount of ABC's investment in Mongolian subsidiary declined by $2 million due to a rise in the value of Canadian dollar.

Prepare a statement of change in equity for ABC for the year ended 31 December 30X6.

Explain assumption you need to make if any. Hint: Not all of the accounts listed above are relevant to the SCE.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
ABC Corp. is a public company with a December year end date. The following select balances...
ABC Corp. is a public company with a December year end date. The following select balances are taken from the December 31, 2018 balances. Capital stock 160,000 credit Retained earnings 567,000 credit Equity portion of convertible bonds 6,000 credit Goodwill 18,000 debit Cash flow hedge loss 65,000 debit Investment in foreign subsidiary 92,300 debit Translation differential from foreign subsidiary 13,000 credit Short term investments 26,000 debit Provision for lawsuit 44,000 credit Contributed surplus – premium on common shares 25,500 credit...
Waterway Corporation’s post-closing trial balance at December 31, 2020, is shown as follows. WATERWAY CORPORATION POST-CLOSING...
Waterway Corporation’s post-closing trial balance at December 31, 2020, is shown as follows. WATERWAY CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2020 Dr. Cr. Accounts payable $ 273,600 Accounts receivable $ 496,000 Accumulated depreciation—buildings 176,000 Additional paid-in capital in excess   of par—common 1,428,000   From treasury stock 146,000 Allowance for doubtful accounts 32,000 Bonds payable 290,000 Buildings 1,466,000 Cash 198,000 Common stock ($1 par) 182,000 Dividends payable (preferred stock—cash) 4,400 Inventory 569,000 Land 381,000 Preferred stock ($50 par) 450,000 Prepaid expenses 42,000...
Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED CORPORATION POST-CLOSING...
Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017 Dr. Cr. Accounts payable $ 160,900 Accounts receivable $ 491,000 Accumulated depreciation—buildings 202,000 Additional paid-in capital in excess of par—common 1,346,000 From treasury stock 165,000 Allowance for doubtful accounts 28,000 Bonds payable 281,000 Buildings 1,344,000 Cash 171,000 Common stock ($1 par) 206,000 Dividends payable (preferred stock—cash) 4,100 Inventory 505,000 Land 416,000 Preferred stock ($50 par) 450,000 Prepaid expenses 41,000...
Sunland Corporation’s trial balance at December 31, 2021, is presented below. SUNLAND CORPORATION Trial Balance December...
Sunland Corporation’s trial balance at December 31, 2021, is presented below. SUNLAND CORPORATION Trial Balance December 31, 2021 Debit Credit Cash $ 48,000 Accounts receivable 51,000 Allowance for doubtful accounts $ 2,500 Merchandise inventory 22,700 Investment in associate 85,000 Investment at FVTOCI—equity 30,000 Land 90,000 Building 200,000 Accumulated depreciation—building 40,000 Equipment 40,000 Accumulated depreciation—equipment 15,000 Accounts payable 18,775 Income tax payable 4,500 Bonds payable (6%, due January 1, 2026) 126,025 Common shares, unlimited number of no par value shares authorized,...
The post-closing trial balance of Blossom Corporation at December 31, 2020, contains the following stockholders’ equity...
The post-closing trial balance of Blossom Corporation at December 31, 2020, contains the following stockholders’ equity accounts. Preferred Stock (14,000 shares issued) $700,000 Common Stock (240,000 shares issued) 2,400,000 Paid-in Capital in Excess of Par—Preferred Stock 240,000 Paid-in Capital in Excess of Par—Common Stock 380,000 Common Stock Dividends Distributable 240,000 Retained Earnings 966,500 A review of the accounting records reveals the following. 1. No errors have been made in recording 2020 transactions or in preparing the closing entry for net...
The balance sheet of FIFA Cup Company included the following shareholders' equity section at December 31,...
The balance sheet of FIFA Cup Company included the following shareholders' equity section at December 31, 2020: ($ in millions) Common stock ($1 par, authorized 200 million shares, issued and outstanding 180 million shares) $ 180 Paid-in capital—excess of par 1,080 Retained earnings 560 Total shareholders' equity $ 1,820 On January 5, 2021, FIFA purchased and retired 2 million shares for $18 million. Immediately after retirement of the shares, the balances in the retained earning account is:
Exercise 15-17 Novak Corporation’s post-closing trial balance at December 31, 2020, is shown as follows. NOVAK...
Exercise 15-17 Novak Corporation’s post-closing trial balance at December 31, 2020, is shown as follows. NOVAK CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2020 Dr. Cr. Accounts payable $ 166,200 Accounts receivable $ 503,000 Accumulated depreciation—buildings 181,000 Additional paid-in capital in excess   of par—common 1,318,000   From treasury stock 175,000 Allowance for doubtful accounts 30,000 Bonds payable 322,000 Buildings 1,344,000 Cash 194,000 Common stock ($1 par) 180,000 Dividends payable (preferred stock—cash) 3,800 Inventory 535,000 Land 361,000 Preferred stock ($50 par) 500,000 Prepaid...
Exercise 15-17 Splish Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. SPLISH...
Exercise 15-17 Splish Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. SPLISH CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017 Dr. Cr. Accounts payable $ 467,300 Accounts receivable $ 457,000 Accumulated depreciation—buildings 197,000 Additional paid-in capital in excess   of par—common 1,229,000   From treasury stock 176,000 Allowance for doubtful accounts 30,000 Bonds payable 324,000 Buildings 1,503,000 Cash 191,000 Common stock ($1 par) 202,000 Dividends payable (preferred stock—cash) 3,700 Inventory 597,000 Land 435,000 Preferred stock ($50 par) 450,000 Prepaid...
Exercise 15-17 Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED...
Exercise 15-17 Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017 Dr. Cr. Accounts payable $ 345,900 Accounts receivable $ 488,000 Accumulated depreciation—buildings 183,000 Additional paid-in capital in excess of par—common 1,380,000 From treasury stock 169,000 Allowance for doubtful accounts 33,000 Bonds payable 273,000 Buildings 1,530,000 Cash 172,000 Common stock ($1 par) 180,000 Dividends payable (preferred stock—cash) 4,100 Inventory 578,000 Land 417,000 Preferred stock ($50 par) 550,000 Prepaid...
On July 1, 2008,bondholders converted bonds of Vebbz Corporation with a face value of $90,000 into...
On July 1, 2008,bondholders converted bonds of Vebbz Corporation with a face value of $90,000 into 1,800 of its no par value common shares. On that date, these shares were being traded at $51 and there was a balance of $3,600 of discount on the bonds remaining unamortized. All interest has been recorded and paid up to that date. When the bonds had been issued, the equity portion of the issue was recorded at $850. The balance of this unamortized...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT