The capital structure of ABC Company at December 31, 2019 are as follows: 12% Preference share capital, P 200 par, 15,000 shares issued and outstanding Ordinary share capital, P 30 par, 250,000 shares issued and Outstanding Share premium-Preference Share premium-Ordinary Retained Earnings P 3,000,000 7,500,000 900,000 750,000 2,100,000 The following selected transactions relating to shareholder's equity were note in 2019: a.) Purchased and retired 2,000 preference shares at P 280 each. b.) Purchased 30,000 of its own ordinary shares at P 35 per share. c.) Reissued 5,000 treasury shares at P 38 each. d.) Shareholders donated to the company 20,000 ordinary shares when the market price is 36 per share. e.) One half of the donated shares were issued for P 39 each. f.) Profit for 2019 was P 1,850,000. g.) The board of directors declared and paid the regular annual dividend on the preferen share and P 1.50 per ordinary share dividend.
The capital structure of ABC Company at December 31, 2019 are as follows: 12% Preference share capital, P 200 par, 15,000 shares issued and outstanding Ordinary share capital, P 30 par, 250,000 shares issued and Outstanding Share premium-Preference Share premium-Ordinary Retained Earnings P 3,000,000 7,500,000 900,000 750,000 2,100,000 The following selected transactions relating to shareholder's equity were note in 2019: a.) Purchased and retired 2,000 preference shares at P 280 each. b.) Purchased 30,000 of its own ordinary shares at P 35 per share. c.) Reissued 5,000 treasury shares at P 38 each. d.) Shareholders donated to the company 20,000 ordinary shares when the market price is 36 per share. e.) One half of the donated shares were issued for P 39 each. f.) Profit for 2019 was P 1,850,000. g.) The board of directors declared and paid the regular annual dividend on the preferen share and P 1.50 per ordinary share dividend.
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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1. How much is the total contributed capital as of December 31,2019?
2. How much is the balance of the treasury shares as of December 31,2019?
3. What is the total amount of dividends charged to the
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