Question

Presented below is information which relates to Cullumber Company, a Canadian public corporation traded on the Toronto Stock Exchange, for 2017.

Net income		$415,000
Retained earnings, January 1, 2017		824,000
Cash dividends declared on common shares		37,000
Correction of calculation error depreciation understatement in 2013 (pre-tax)		462,000
Gain from foreign currency transactions (net of tax)		239,000
Proceeds from issuance of Cullumber common shares		59,000
Accumulated other comprehensive income, January 1, 2017		18,000

On January 1, 2017, Cullumber had 22,400 common shares outstanding with a capital balance of $560,000. During the year, Cullumber Company issued an additional 3,000 common shares.

Prepare in good form a statement of changes in equity for 2017. The tax rate is 30%. (Enter expenses and losses using either a negative sign preceding the number e.g. -25 or parentheses e.g. (25).)

please solve asap

Cullumber Company Statement of Shareholders' Equity Common Shares Number Accumulated Other Common Shares Retained Earnings Comprehensive Income Total

Answer 1

Statement of Shareholders' Equity

	Common shares number	Common shares	Retained earnings	Accumulated other comprehensive income	Total
Jan. 1 Beginning balance	22,400	560,000	824,000	18,000	1,402,000
Issue of common stock	3,000	59,000			59,000
Net income			415,000		415,000
Cash dividend			- 37,000		-37,000
Correction of calculation error depreciation understatement in 2013, net of tax			- 323,400		- 323,400
Gain from foreign currency transactions (net of tax)				239,000	239,000
Ending balance					1,754,600

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