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Problem #28 Comprehensive Shareholders' Equity Transactions The shareholders' equity of the Rodriguez Corporation on June 30, 2017, is shown below: Share Capital Ordinary Shares – P6 par value, 1,000,000 shares authorized, 250,000 shares issued and outstanding Share Premium-Ordinary Total Share Capital P1,500,000 820,000 P2,320,000 Retained Earnings Total Shareholders' Equity 970,000 P3,290,000 Transactions for the next fiscal year were as follows: The board of directors declared a 2-for-1 share split. The board of directors obtained authorization to issue 50,000 shares of P100 par a. b. value, 6 % non-cumulative preference shares. Issued 12,000 ordinary shares for a building appraised at P96,000. Purchased 8,000 shares of the corporation's ordinary shares for P64,000. Issued 20,000 preference shares for P100 per share. f. C. d. e. Sold 5,000 shares of treasury stock for P35,000. Declared cash dividends of P6 per share on preference shares and P.20 per share on ordinary shares. h. g. Date of record. Paid the preference and ordinary shares cash dividends. Declared a 10% share dividend on ordinary shares. The market value was P10 per i. j. share. The share dividend is distributable after the end of the fiscal year. k. Profit for the year was P340,000. Required: * Prepare the journal entries to record the transactions. . Prepare the statement of retained earnings for the year ended June 30, 2018. Prepare the shareholders' equity section of the statement of financial position as at June 30, 2018. 3.

Problem #28 Comprehensive Shareholders' Equity Transactions The shareholders' equity of the Rodriguez Corporation on June 30, 2017, is shown below: Share Capital Ordinary Shares – P6 par value, 1,000,000 shares authorized, 250,000 shares issued and outstanding Share Premium-Ordinary Total Share Capital P1,500,000 820,000 P2,320,000 Retained Earnings Total Shareholders' Equity 970,000 P3,290,000 Transactions for the next fiscal year were as follows: The board of directors declared a 2-for-1 share split. The board of directors obtained authorization to issue 50,000 shares of P100 par a. b. value, 6 % non-cumulative preference shares. Issued 12,000 ordinary shares for a building appraised at P96,000. Purchased 8,000 shares of the corporation's ordinary shares for P64,000. Issued 20,000 preference shares for P100 per share. f. C. d. e. Sold 5,000 shares of treasury stock for P35,000. Declared cash dividends of P6 per share on preference shares and P.20 per share on ordinary shares. h. g. Date of record. Paid the preference and ordinary shares cash dividends. Declared a 10% share dividend on ordinary shares. The market value was P10 per i. j. share. The share dividend is distributable after the end of the fiscal year. k. Profit for the year was P340,000. Required: * Prepare the journal entries to record the transactions. . Prepare the statement of retained earnings for the year ended June 30, 2018. Prepare the shareholders' equity section of the statement of financial position as at June 30, 2018. 3.

Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 81PSA
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Complete solution of required 2 please. And journal entries. Thanks.
Comprehensive Shareholders' Equity Transactions PROFESSOR: Problem #28 The shareholders' equity of the Rodriguez Corporation on June 30, 2017, is shown below: Share Capital Ordinary Shares – P6 par value, 1,000,000 shares authorized, 250,000 shares issued and outstanding Share Premium-Ordinary Total Share Capital Retained Earnings Total Shareholders' Equity P1,500,000 820,000 P2,320,000 970,000 P3,290,000 Transactions for the next fiscal year were as follows: The board of directors declared a 2-for-1 share split. The board of directors obtained authorization to issue 50,000 shares of P100 par a. b. value, 6 % non-cumulative preference shares. Issued 12,000 ordinary shares for a building appraised at P96,000. Purchased 8,000 shares of the corporation's ordinary shares for P64,000. Issued 20,000 preference shares for P100 per share. С. d. е. Sold 5,000 shares of treasury stock for P35,000. Declared cash dividends of P6 per share on preference shares and P.20 per share on ordinary shares. h. f. g. Paid the preference and ordinary shares cash dividends. Declared a 10% share dividend on ordinary shares. The market value was P10 per Date of record. i. j. share. The share dividend is distributable after the end of the fiscal vear. Profit for the year was P340,000. k. Required: * Prepare the journal entries to record the transactions. Prepare the shareholders' equity section of the statement of financial position as at 3. 2. Prepare the statement of retained earnings for the year ended June 30, 2018. June 30, 2018.
Transcribed Image Text:Comprehensive Shareholders' Equity Transactions PROFESSOR: Problem #28 The shareholders' equity of the Rodriguez Corporation on June 30, 2017, is shown below: Share Capital Ordinary Shares – P6 par value, 1,000,000 shares authorized, 250,000 shares issued and outstanding Share Premium-Ordinary Total Share Capital Retained Earnings Total Shareholders' Equity P1,500,000 820,000 P2,320,000 970,000 P3,290,000 Transactions for the next fiscal year were as follows: The board of directors declared a 2-for-1 share split. The board of directors obtained authorization to issue 50,000 shares of P100 par a. b. value, 6 % non-cumulative preference shares. Issued 12,000 ordinary shares for a building appraised at P96,000. Purchased 8,000 shares of the corporation's ordinary shares for P64,000. Issued 20,000 preference shares for P100 per share. С. d. е. Sold 5,000 shares of treasury stock for P35,000. Declared cash dividends of P6 per share on preference shares and P.20 per share on ordinary shares. h. f. g. Paid the preference and ordinary shares cash dividends. Declared a 10% share dividend on ordinary shares. The market value was P10 per Date of record. i. j. share. The share dividend is distributable after the end of the fiscal vear. Profit for the year was P340,000. k. Required: * Prepare the journal entries to record the transactions. Prepare the shareholders' equity section of the statement of financial position as at 3. 2. Prepare the statement of retained earnings for the year ended June 30, 2018. June 30, 2018.
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