453 Assignment 4 2023W2-1

The consolidated stockholders’ equity on December 31, 20x1:   A. 2,040,000 B. 2,349,375 C. 2,399,375 D. 2,375,975

Problem 6: Treasury Shares year 20x1: Valientes Corporation reported the shareholders. Equity at the beginning of the Ordinary share, P10 par, outstanding 225,000 shares Share Premium Retained Earnings 2,250,000 1,500,000 2,000,000 During the year, the entity had the following treasury shares transactions: Acquired 10,000 treasury shares for P500,000. Sold 5,000 treasury shares at P60 per share - Sold 2,000 treasury shares at P45 per share. Required: a. Prepare the journal entries b. Prepare the shareholders' equity at the end of the year

Problem 16-12 (AICPA Adapted) Maxim Company acquired 40,000 ordinary shares on October 1 for P6,600,000 to be held for trading. On November 30, the investee distributed a 10% ordinary share dividend when the market price of the share was P250. On December 31, the entity sold 4,000 shares for P1,000,000. What amount should be reported as gain on sale of investment in the current year? a. 340,000 b. 400,000 c. 500,000 d. 600,000

Question 37 BFAR Corp. received a charter authorizing 120,000 ordinary shares at P15 par value per share. During the first year of operations, 22,000 shares were issued at P25 per share and 600 shares were issued in exchange for equipment with a fair value of P22,600. How much is the balance of the Share Premium account?

Problem 7 (with solution/explanation)

PROBLEM 32: CYPRUS COMPANY began operation on January 1. Authorized were 20,000 shares of P10 par value ordinary shares and 40,000 shares of 10%, P 100 par value preference shares. The following transactions involving shareholders' equity occurred during the first year of operations. January 1 February 23 March 10 April 10 July 14 August 3 December 1 Issued 500 ordinary shares to the corporation promoters in exchange for property valued at P170,000 and services valued at P70,000. The property had cost the promoters P90,000 3 years before and was carried on the promoters' books at P50,000. 31 Issued 10,000 preference shares with a par value of P100 per share. The shares were issued at a price of P150 per share, and the company paid P75,000 to an agent for selling the shares. Sold 3,000 ordinary shares for P390 per share. Issue costs were P25,000 Cordillera Career Development College COLLEGE OF BUSINESS EDUCATION AND ADMINISTRATION Buyagan, Poblacion, La Trinidad, Benguet 4,000 ordinary…

SECTION 2. Assuming that the profit for the year amounted to P450,000, prepare the Gloria Detoya Corporation was authorized to issue 900,000 shares of 5%, P100 par value preference shares and 1.5 million shares of no-par, P5 stated value ordinary 5,500 preference shares were issued to an individual in exchange for a 24,000 ordinary shares were sold to a group of investors at P24 per Problem #16 24.000 ordinary shares were sold to a group of investors at p24 Feb. 2 share. Feb. 15 parcel of land to be held for future development. The land has a far market value of P795,000. The preference shares was not activel traded. 2,500 ordinary shares were issued to a lawyer in exchange for services rendered in forming the corporation. The stock was currently trading at P31 a share. All parties agreed that this represented the value of the lawyer's services. Apr. 30 Nov. 20 Additional 7,000 ordinary shares were issued at P45 per share. Nov. 30 1,400 ordinary shares were repurchased at P35 per…

QUESTION 23 a) On September 14, 10,000 shares of Grey Company are acquired at a price of $100 per share plus a $500 brokerage fee. DATE Debit Credit XIX b) On October 15, a $0.50-per-share dividend was received on the Grey Company stock. DATE Debit Credit XIX c) On November 10, 1,500 shares of the Grey Company stock were sold for $115 per share less a $50 brokerage fee. DATE Debit Credit XIX

Question 3:.. CL03 A. The following selected transactions pertain to L. Lewis Corporation: Jan. 3 Issued 100,000 shares, $10 par value, common stock for $25 per share. Feb. 10 Issued 6,000 shares, $10 par value, common stock in exchange for special purpose equipment. L. Lewis Corporation's common stock has been actively traded on the stock exchange at $30 per share. Date Account title Debit Credit

xt sec i At December 31, year 1, Charter Holding Co. owned the following marketable securities in capital stock of publicly traded companies. L Brands, Inc. (5,000 shares: cost, $44 per share; market value, $52) The Gap, Inc. (4,000 shares: cost, $42 per share; market value, $39) Saved O In year 2, Charter engaged in the following two transactions. Apr.10 Sold 1,000 shares of its investment in L Brands, Inc., at a price of $58 per share, less a brokerage commission of $100. Prev CAT Aug. 7 Sold 2,000 shares of its investment in The Gap, Inc., at a price of $37 per share, less a brokerage commission of $150. At December 31, year 2, the market values of these stocks were: L Brands, Inc., $67 per share; and The Gap, Inc., $37 per share. Required: a-1. Calculate the amount of marketable securities reported in the asset section of Charter's financial statements at December 31, year 1. a-2. Calculate the amount of unrealized gain or loss reported in the stockholders' equity section of…

1. EX.15-01 Equity Method for Stock Investment On January 4, Year 1, Ferguson Company purchased 72,000 shares of Silva Company directly from one of the founders for a price of $59 per share. Silva has 200,000 shares outstanding, including the Daniels 2. EX.15-02 shares. On July 2, Year 1, Silva paid $194,000 in total dividends to its shareholders. On December 31, Year 1, Silva reported a net income of $661,000 for the year. Ferguson uses the equity method in accounting for its investment in Silva. 3. EX.15-03 a. Provide the Ferguson Company journal entries for the transactions involving its investment in Silva Company during Year 1. 4. EX.15-06 Investment in Silva Company Stock Year 1, Jan. 4 14,400,000 X 5. EX.15-08.ALGO Cash 6. EX.15-11.ALGO Year 1, July 2 7. EX.15-14.ALGO Year 1, Dec. 31 Feedback V Check My Work a. Jan 4: Record the investment at cost. July 2: Calculate the ownership percentage. Under the equity method of accounting for investments, the dividends earned affect the…

15 Starr Corporation was organized on January 1, 20X1, with an authorization of 400,000 shares of common stock with a par value of $6 per share. During 20X1, the corporation had the following capital transactions: January 5 July 28 December 31 issued 225,000 shares @ $10 per share purchased 30,000 shares @ $11 per share sold the 30,000 shares held in treasury @ $18 per share Starr used the cost method to record the purchase and reissuance of the treasury shares. What is the total amount of additional paid-in capital as of December 31, 20X1? a. $-0-. b. $690,000. $900.000. d. $1,110,000.

25 An entity provided the following data for the current year: Net Income – P 4,000,000 Ordinary shares – 250,000 Share Option (exercise price of P 60), issued on February 1 (Average Market Price, P 75)– 48,000 5% Preference share capital, P100 par, convertible and cumulative, issued on March 1, can be converted into 18,000 ordinary shares (dividends paid on June) – P 3,600,000 12% Bonds Payable, issued on May 1, can be converted into 30,000 ordinary shares– P 3,000,000 Income Tax Rate – 30%   How much is the basic earnings per share? (round-off to nearest centavo)

Problem 2 On January 1, 2021, the shareholders' equity section of Bamboo Corporation's statement of financial position disclosed the following information: 12.5% convertible preference shares (P40 par value; 150,000 shares authorized, 60,000 shares issued and outstanding) Ordinary shares (P5 par value; 600,000 shares authorized, 360,000 shares issued and outstanding). Share premium.. Retained earnings. Total shareholders' equity. 2.400,000.00 .1,800,000.00 .9,000,000.00 13,500,000.00 26,700,000.00 The following equity transactions occurred during 2021 and 2022: On February 1, 2021, 45,000 ordinary shares were acquired by the company for P33 per share. On August 30, 2021, 15,000 preference shares were converted to ordinary shares. One (1) preference share is convertible into one (1) ordinary share. At the time of conversion, the ordinary shares had a market value of P42 per share. On December 12, 2021, the company placed a share subscription of 30,000 ordinary shares at a subscription…

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Problem 6. The following data were taken from the records of Valencia Frutti Corporation: Share Capital, P50 par, 3,000 shares, Authorized 1,000 shares issued Premium on Share Capital P50,000 3,000 Accumulated Profits (Losses) The Corporation reacquires 100 shares at P55.00 per share, and later sold these share for: a) P55.00 per share (at cost) b) P60.00 per share (above cost) c) P50.00 per share (below cost) Required: 1. Journal Entry to record the acquisition of the treasury shares. 2. Journal entry to record the sale of the treasury shares under the three given cases. 10,000

Problem 6. The following data were taken from T'boli Corporation as of 31 December 20B: Ordinary Share - Authorized to issue 10,000 shares at P100 par value per share. P1,000,000 600,000 100,000 50,000 Issued 6,000 shares Subscribed Share Capital Subscription Receivable-Ordinary Share Premium 4,000 Accumulated Profits (Losses): Beginning Ending P150,000 250,000 The only change in Accumulated Profits (Losses) is accounted for profit. Required: 1. Compute Book Value Per Share 2. Compute Basic Earnings Per Share

The following balances were obtained from the books of The Hartland Ltd as at December 31, 2015: DETAILS Premises 10% Mortgage Retained earnings Goodwill Debtors Creditors General reserves Management fees Ordinary shares@ $0.50 5% Preference shares @ $1 Share premium Motor vehicle Prov. for depreciation on motor vehicle 10% Debenture Mortgage interest Debenture interest Cost of sales Closing stock Insurance Wages & salaries Interim ordinary shares dividend Bank Sales Commission received DR 800,000 40,000 100,000 110,000 30,000 80,000 7,000 5,000 750,000 80,000 20,000 60,000 2,000 2,084,000 CR 250,000 65,000 30,000 200,000 200,000 50,000 12,000 120,000 53,000 1.100,000 4,000 2,084,000 Notes: a. Provide for depreciation on motor vehicle at 5% on the reducing balance b. Insurance is prepaid by $4,000 while wages and salaries is owing by $20,000 c. The goodwill should be written down by 25% d. Transfer $25,000 from profits to the general reserves e. Corporation tax is estimated at $30,000

#20In 20A, Angelu company bought 10,000 shares of Eloisa company at a cost of P360,000. On December 1,20A, Angelu company declared a property dividend of the Eloisa company shares to shareholders ofrecord on February 1, 20B, payable on February 15, 20B. Eloisa company shares had the followingmarket value:December 1, 20A 450,000December 31, 20A 468,000February 15, 20B 432,000What is the net charge of the property dividend against retained earnings during 20A? 468,000 pls provide correct solution for the given answer

PROBLEM 2 The KYOTO COMPANY is authorized to issue 600,000 shares P10 par value ordinary share capital. Kyoto accounting year ends on December 31. The following transactions occurred in 2021, the company's first year of operations. a. Issued 20,000 shares at P20 per share; received cash b. Issued 2,500 shares to attorney's for services in securing the corporate charter and for preliminary legal costs of organizing the corporation. The fair value of the services was P85,000 c. Issued 300 shares, valued objectively at P15,000 to the employees instead of paying them cash wages. d. Issued 325,000 shares in exchange for building valued at P3,000,000 and land valued at P4,000,000 (The building was originally acquired by the investor for P2,500,000 and has P1,000,000 of accumulated depreciation; the land was originally acquired for P1,500,000) 1. What is the ordinary share capital balance on December 31, 2021? a. P3,453,000 b. P3,478,000 c. P3,490,000 d. P4,278,000 2. The amount of share…

Question Content Area On January 1, Vermont Corporation had 47,300 shares of $11 par value common stock issued and outstanding. All 47,300 shares had been issued in a prior period at $21 per share. On February 1, Vermont purchased 980 shares of treasury stock for $24 per share and later sold the treasury shares for $19 per share on March 1. The journal entry for the purchase of the treasury shares on February 1 would include a a. credit to a gain account for $2,940 b. credit to Treasury Stock for $23,520 c. debit to Treasury Stock for $23,520 d. debit to a loss account for $2,940

45 Investments 1N 2. On Sept. 1, 20x1, Lone Co. acquires 35% of the 100,000 2. On outstanding shares of Social Co. for P1,200,000. Social Co.'s net identifiable assets are fairly valued on this date. In 20x1. Social Co. reports profit of P1,500,000 and declares and pays cash dividends of P600,000. For the year ended Dec. 31, 20x1, how much should Lone Co. report as share in the associate's profit and investment in associate, respectively? c. 175,000; 1,165,000 d. 210,000; 1,200,000 c. 350,000; 1,340,000 d. 131,250; 1,121,250 3. On Jan, 1, 20x1. Ice Co acquired 25.000 newly issued shares of