Relay Company is permitted to issue 500,000 ordinary shares of P10 par value. During the first year of the corporation's existence, 2021, the following transactions occurred: • 50,000 ordinary shares were sold for P18 per share • In exchange for a patent worth P1,000,000, 50,000 ordinary shares were issued. The total contributed capital at the end of Relay's first year was: O P400,000 O P1,000,000 P900,000 O P1,900,000

Relay Company is permitted to issue 500,000 ordinary shares of P10 par value. During the first year of the corporation's existence, 2021, the following transactions occurred: • 50,000 ordinary shares were sold for P18 per share • In exchange for a patent worth P1,000,000, 50,000 ordinary shares were issued. The total contributed capital at the end of Relay's first year was: O P400,000 O P1,000,000 P900,000 O P1,900,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 7EB: Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the...

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