Prepare a statement of change in equity for the month

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Bell Inc. began operations on January 1,2017, and immediately issued 7000 common shares for cash of $3.5 per share. On January 3, 900 common shares were issued to promoters in exchange for their services in selling shares of the corporation. The costs were charged to organization expenses. The shares were valued at $1300. On January 12, 4000 preferred shares were issued for cash of $8.00 per share. On February 2,10000 common shares were issued in exchange two trucks at $ 29000. On February 26, 2000 more preferred shares were issued for total cash of $16000.

Problem 1: Prepare a journal entry an accountant would use to record the transactions

Problem 2: Prepare a statement of change in equity for the month ended in February 28,2017. Assume a loss of $7000 was realized in January, profit earned was $60000 and dividends totalling $7000 had been declared and paid in February

Reference no: EM132951071

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