PROBLEM 29 Barcelona Company owns 20,000 shares of ABC Corporation, representing 10% ownership. Barcelona received a share dividend of 2,000 on September 1, 2020, when the carrying value per on ABC Corporation's books was P30 per share, and the market price is P33 per share. ABC Corporation paid a cash dividend of P10 per share on October 31, 2020, declared on September 30, 2020, of record October 15, 2020. Requirements: 1 How much is the dividend income at the end of 2020? 2 Prepare the necessary joumal entries to record September 1, 2020, and October 31, 2020.

PROBLEM 29 Barcelona Company owns 20,000 shares of ABC Corporation, representing 10% ownership. Barcelona received a share dividend of 2,000 on September 1, 2020, when the carrying value per on ABC Corporation's books was P30 per share, and the market price is P33 per share. ABC Corporation paid a cash dividend of P10 per share on October 31, 2020, declared on September 30, 2020, of record October 15, 2020. Requirements: 1 How much is the dividend income at the end of 2020? 2 Prepare the necessary joumal entries to record September 1, 2020, and October 31, 2020.

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter11: The Cost Of Capital

Section: Chapter Questions

Problem 11PROB

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