On March 2, 2022, Gumamela Corporation issued 4,000 shares of 6% cumulative P100 par value preference share for P440,000. Each share carried one non-detachable warrant which entitled the holder to acquire at P17, one share of Gumamela P10 par ordinary share. On March 2, 2021, the market price of the preference share (without warrants) was P104 per share and the market price of the share warrants was P5 per warrant. The amount credited to share warrants outstanding by Gumamela on the issuance of the share was: Group of answer choices P14,000 P62,000 P24,000 P20,000
On March 2, 2022, Gumamela Corporation issued 4,000 shares of 6% cumulative P100 par value preference share for P440,000. Each share carried one non-detachable warrant which entitled the holder to acquire at P17, one share of Gumamela P10 par ordinary share. On March 2, 2021, the market price of the preference share (without warrants) was P104 per share and the market price of the share warrants was P5 per warrant. The amount credited to share warrants outstanding by Gumamela on the issuance of the share was: Group of answer choices P14,000 P62,000 P24,000 P20,000
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
Chapter15: Contributed Capital
Section: Chapter Questions
Problem 4RE: Sun Corporation issues 500 shares of 8 par common stock for a patent. The stock is currently selling...
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On March 2, 2022, Gumamela Corporation issued 4,000 shares of 6% cumulative P100 par value preference share for P440,000. Each share carried one non-detachable warrant which entitled the holder to acquire at P17, one share of Gumamela P10 par ordinary share. On March 2, 2021, the market price of the preference share (without warrants) was P104 per share and the market price of the share warrants was P5 per warrant. The amount credited to share warrants outstanding by Gumamela on the issuance of the share was:
Group of answer choices
P14,000
P62,000
P24,000
P20,000
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