SunCorp Group Limited - Return of Capital & Share Consolidation 24th October 2019

[qwerty123]

Hi just wanted to clarify how to account for the SunCorp Group Limited - Return of Capital & Share Consolidation that occurred on the 24th October 2019 via corporate actions and other relevant entries. The share consolidation occured on the 8th October 2019, which resulted in reduction of shares from 1315 to 1277 shares (-38 shares). The Return of Capital payment occured on the 24th October of $512.85 to my client ($0.39 x 1315 shares).
Please look at the capture 1 below for more info.

I tried to process the corporate actions for return of capital and share consolidation as you can see in the below images:

But, in my transaction list it comes as marked "Unmatched" as you can see:

Can you please advice me where i have gone wrong and the correct corporate actions and entries for this accounting situation. Thank you.

[jng]

Hi @qwerty123,

The return of capital transaction should be matched to a bank transaction for the cash received. Both the corporate actions have been processed correctly.

Hope that helps.

[qwerty123]

Hi, so i created a transaction to record the bank received payment of $512.85 by Debiting the relevant bank account and Crediting the Sun Investment Shares Account as you can see below:

. However, iam not 100% sure about this credit entry to the investment account. Can please advice me on the relevant double entry for return on capital cash received journal entry.

Because, it does not seem to automatically match with the corporate action transaction and still remains as unmatched error as you can see.

[qwerty123]