An extract of the balance

sheet of ABC Ltd at

Shareholder’s Equity                                             $                    

Share Capital (5,000,000 shares)                 5,000,000

Reserves                                                              575,000

Retained

Earnings                                            

                                                                             7,405,000

The following events occurred during the year ended 30 June

2024:

 · 

ABC Ltd purchased a block of land in exchange for 500,000 shares

valued at $2m.

·  ABC Ltd

issued a further 500,000 ordinary shares for cash at an issue price of $3 each.

·  On 30 June, tax expense was estimated at $370,000, payable in

August. In addition, ABC Ltd reported a

·  Directors

of ABC Ltd transferred $300,000 to a general reserve.

·  Directors

of ABC Ltd declared a final dividend of $0.15 per share to be paid on 22 July

(on ALL shares issued).

 Calculate the equity balances at 30 June 2024 after

recording the above information.

Share Capital