During 2022, Sunflower Corporation had the following capital transactions: January 5 - Issued 300,000 shares of P6 par at P12 per share April 6 - Issued 100,000 shares of P6 par at P14 per share June 8 - Issued 120,000 shares of P6 par at P16 per share July 28 - Purchased 40,000 shares at P12 per share December 31 - Sold the 40,000 shares held in treasury at P20 per share Sunflower used the cost method to record the purchase and reissuance of the treasury shares. What is the total amount of share premium as of December 31, 2022?
During 2022, Sunflower Corporation had the following capital transactions: January 5 - Issued 300,000 shares of P6 par at P12 per share April 6 - Issued 100,000 shares of P6 par at P14 per share June 8 - Issued 120,000 shares of P6 par at P16 per share July 28 - Purchased 40,000 shares at P12 per share December 31 - Sold the 40,000 shares held in treasury at P20 per share Sunflower used the cost method to record the purchase and reissuance of the treasury shares. What is the total amount of share premium as of December 31, 2022?
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...
Related questions
Question
During 2022, Sunflower Corporation had the following capital transactions:
January 5 - Issued 300,000 shares of P6 par at P12 per share
April 6 - Issued 100,000 shares of P6 par at P14 per share
June 8 - Issued 120,000 shares of P6 par at P16 per share
July 28 - Purchased 40,000 shares at P12 per share
December 31 - Sold the 40,000 shares held in treasury at P20 per share
Sunflower used the cost method to record the purchase and reissuance of the treasury shares. What is the total amount of share premium as of December 31, 2022?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College