Waec Model Questions Vol1 2018 Financial Accounting Question 10

The following information relates to XYZ Ltd for the year ended 31 December 2025. Opening balances: Share capital ₦5,000,000; Share premium ₦1,200,000; Retained earnings ₦2,800,000. During the year: • New ordinary shares with total face value ₦1,000,000 were issued at ₦1,500,000. • Treasury shares costing ₦300,000 were purchased and later re‑issued at ₦350,000. • Net profit ₦1,500,000. • Legal reserve of 5 % of profit was transferred. • Revaluation surplus of ₦200,000 was transferred to a revaluation reserve. • Dividend of ₦500,000 was declared and paid. Prepare the statement of changes in equity showing the closing balances of share capital, share premium, legal reserve, revaluation reserve, retained earnings and total equity. Also state the total equity at year‑end.