On Jan 1, 2019, Giron Corp. reported the following on its shareholder's equity section: Ordinary shares, P5 par value, authorized 200,000 shares, Issued 100,000 shares P 500,000 Share premium-Ordinary Retained Earnings 1,500,000 516,000 P2,516,000 (40,000) P2,476,000 Total Treasury Stock, at cost, 5,000 shares Total Shareholders' Equity The following events occurred in 2019: May 1 1,000 shares of treasury stock were sold for P10,000. July 9 10,000 shares of previously unissued ordinary shares were sold for P12 per share. Oct 1 The distribution of a 2-for-1 share split resulted in the ordinary shares' per share par value being halved. Giron accounts for treasury stock under the cost method. On Dec.31, 2019, the total par value of the issued ordinary shares should be A) P550,000 B) P518,000 C) P291,000 D P530,000
On Jan 1, 2019, Giron Corp. reported the following on its shareholder's equity section: Ordinary shares, P5 par value, authorized 200,000 shares, Issued 100,000 shares P 500,000 Share premium-Ordinary Retained Earnings 1,500,000 516,000 P2,516,000 (40,000) P2,476,000 Total Treasury Stock, at cost, 5,000 shares Total Shareholders' Equity The following events occurred in 2019: May 1 1,000 shares of treasury stock were sold for P10,000. July 9 10,000 shares of previously unissued ordinary shares were sold for P12 per share. Oct 1 The distribution of a 2-for-1 share split resulted in the ordinary shares' per share par value being halved. Giron accounts for treasury stock under the cost method. On Dec.31, 2019, the total par value of the issued ordinary shares should be A) P550,000 B) P518,000 C) P291,000 D P530,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
Problem 5MC: Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par...
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