The company issued for P1,200,000 cash, 4,000 shares of P200 par value Preference share and 1,000 shares of P100 ordinary share. The preference and ordinary share have fair values of P220 and P120 per share, respectively on the date of sale. Record the transaction above in journal entry form.

Q: Hanson Co. issued 10,000 shares of its $5 par common stock for $15 a share. In addition, it incurred…

A: Journal entry for recording issuance of shares is Debit Cash and Credit Common Stock and Credit…

Q: Swifty Corporation sold 310 shares of treasury stock for $35 per share. The cost for the shares was…

A: Treasury stock: Shares which are bought back by the company from the open market but not retired…

Q: Virma Corporation sold to a subscriber 500 shares of its P 30 par value ordinary shares at P 32 per…

A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…

Q: JKL:o. issued 20,000 shares of its P25 par value ordinary shares and 4,000 shares of its P50 par…

A: Definition: Preferred stock: Preferred stock is the cash raised by the company by issuing preferred…

Q: Tiktok Company issued 10,000 shares of its P5 Par value common stock having market value of P25 per…

A: Here allocations  should  be done on basis of fair value/ market  value

Q: the following transactions occurred:  January 1  Sold 30,000 shares at P150 per share February 1…

A: Answer: 1. Total shares capital at par = P4200,000 2. Total share premium (in excess par) =…

Q: Use the following information in answering the next item(s): FORGIVENESS INC. is authorized to issue…

A: When the shares of a company are issued at a price above and over the face value, it is said to be…

Q: COMBO Co. issued 20,000 shares of its P25 par value ordinary shares and 4,000 shares of its P50 par…

A:

Q: ARIES Inc. had the following transactions in the ordinary shares of May Corporation: anuary 5 Bought…

A: Company means the form of business where management is separately from owner and have perpetual…

Q: On February 22, Triangle Corporation acquired 2,700 shares of the 95,000 outstanding common stock of…

A: The purchase of shares leads to share in profits of the company, whose shares are being purchased.…

Q: At the beginning of current year, Lake Company was organied and with par value of P100 1. Received…

A: An equity statement is a financial statement that a company needs to prepare and other important…

Q: Sloan Co. issued 1,000 shares of its P5 par ordinary share to Mercy West as compensation for 1,000…

A: The share premium is the amount received on issuance of share in excess to the face value of shares.

Q: The company issued for P1,000,000 cash, 1,000 shares of P200 par value Preference share and 2,000…

A: The value received in excess of par value is credited to share premium account.

Q: On December 1, DOS Corporation issued 1,000 shares of its par ordinary share capital and 2,000…

A: Journal entries are the entries to be recorded in the accounting books of the business for all the…

Q: Assume that on February 12, First Union Co. purchases for cash 6,000 shares of Gilbert Co. stock at…

A: Total deividend received = No. of shares x Dividend per share = 6,000 shares x $0.42 per share =…

Q: A. Fernando Corporation is authorized to issue 400,000 shares of P85 par value ordinary shares.…

A: Given that, Fernando Corporation is authorized to issue 400,000 shares Par value per share = P85

Q: At the beginning of the current year, Relay Company was organized with authorized capital of 100,000…

A: Share premium is received at the time of issue of shares. When shares are issued at a price more…

Q: Holiday, Inc. had the following transactions in the ordinary shares of May Corporation: January 5…

A: Bonus issue means additional shares are issued by the company to the current shareholders free of…

Q: Berna Company was organized on January 1, 2019, 25,000 ordinary shares of P100 par value being…

A: SOLUTION 1-                                                   INCOME STATEMENT   PARTICULARS…

Q: Celestial Inc. issued 8,000 shares of its P10 par ordinary shares to a CPA for 600 hrs. of…

A: The company's main source of funding is its share capital. There are two sorts of shares. Ordinary…

Q: Assume that on February 12, First Union Co. purchases for cash 6,000 shares of Gilbert Co. stock at…

A: Total amount paid = (No. of shares x Price per share) + Brokerage fee = (6,000 shares  x $22 per…

Q: On February 22, Triangle Corporation acquired 34,000 shares of the 500,000 outstanding common stock…

A: The journal entries are prepared to keep the record of day to day transactions of the business.

Q: January 1, 20x1, an entity has an outstanding note payable with carrying amount of P1,000,000. On…

A: As per PFRS 9 financial instruments note payable is an financial liability comes with in the scope…

Q: Ogag company issued 1,000 shares of its P5 par value ordinary shares as payment for 1,000 hours of…

A: Par. value of Ordinary Shares :- P5  No. Of Equity Shares issued :- 1000 shares  Market Value of…

Q: TRUE OR FALSE   Fairy Company issued 2,500 ordinary shares with par value of P10 per share for…

A: The journal entries are prepared to keep the record of day to day transactions of the business.

Q: On February 22, Triangle Corporation acquired 2,700 shares of the 95,000 outstanding common stock of…

A: Accounting for investment is the process of journalising the transactions occurred due to…

Q: On July 1, 2021, Matiyaga Company purchased  1,000 shares of Masipag  Corp. P100 par ordinary shares…

A: In the context of the given question, we are required to compute the carrying value of Matiyaga's…

Q: Star Ltd. issued 1,00,000 shares of Rs. 10 each at a premium of Rs. 2 per share, payable as follows…

A: Equity shares are those shares which do not have preferential right on dividend and repayment of…

Q: By what amount should the share premium account increase as a result of the transaction? Show your…

A: The organization can raise funds for the operation by issuing common stock, preferred stock for long…

Q: Virma Corporation sold to a subscriber 500 shares of its P 30 par value ordinary      shares at P 32…

A: Share Capital:- It is the capital that is invested by the shareholders in the company for the…

Q: An entity was organized at the beginning of current year with 100,000 authorized shares of P100 par…

A:

Q: Virma Corporation sold to a subscriber 500 shares of its P30 par value common stock at P32 per share…

A: Share Capital:- It is the capital that is invested by the shareholders in the company for the…

Q: Pat issued 1,000 shares of its P5 par value ordinary shares to Nenita a compensation for 1,000 hours…

A: Share premium refers to the amount that is determined from the difference shares face or par value…

Q: Blaze Ltd has decided to purchase shares with a nominal value of £110,000 (originally issued for…

A: Treasury stock is acknowledged as the reacquired stock of a corporation which were outstanding in…

Q: On March 1, 2018, Plain, Inc. sold 40,000 shares of its P 30 par value Ordinary Share Capital on a…

A: Journal is the primary book of entry in accounting. It is the first book where a business…

Q: JKL Co. issued 20,000 shares of its P25 par value ordinary shares and 4,000 shares of its P50 par…

A: Equipments acquired should be recorded in books of accounts at fair value.

Q: nary shares with a par value of P10 per share. During the current year, the entity had the following…

A: Solution: Share premium is the amount which is in excess of par value of ordinary shares. It also…

Q: On December 31, year 1, Neal Co. issued 100,000 shares of its $10 par value common stock in exchange…

A: Purchase consideration for business combination = 100,000 shares x $19 per share = $1,900,000

Q: Teacher Inc. will issue share of P25-par ordinary share for the net assets of Student Co. Teacher…

A: Company means the form of business where management is separately from owner and have perpetual…

Q: On February 22, Triangle Corporation acquired 34,000 shares of the 500,000 outstanding common stock…

A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…

Q: Fiona Company issued 21,500 ordinary shares with par value of P85 in exchange for land with a fair…

A: The amount of ordinary share premium is equal to the consideration received in excess of the par…

Q: Petron Company issued 80.000 new shares of its P5 par value ordinary shares valued at P12 per share…

A: This is a business combination question and solved following the PFRS 103. The Acquisition relation…

Q: On February 22, Stewart Corporation acquired 7,500 shares of the 265,000 outstanding shares of…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: Alex Ltd. Is taken over by Billy Ltd. On the following terms: The assets and liabilities of Alex…

A: Purchase consideration :- The payment made by the acquiring company to the vendor company in…

Q: Emma Consulting had previously purchased 3,466 shares of treasury stock for $7 per share. Emma then…

A: Given,  3,600 shares purchased for $7 per share Sold 1,225 shares of treasury stock for $13 per…

Q: On September 1, FAITH Inc issued 120,000 shares of its P50 par value ordinary share in exchange for…

A: Assets in the business should always be recorded at their fair value in the business.

Q: Bulla Company issues 4,000 shares of its P5 par value ordinary share having a fair value of P25 per…

A: Based on the given data, Fair value of Common Stock = 4,000 x P25 = P100,000 Fair value of Preferred…

Q: Assume that on February 12, First Union Co. purchases for cash 6,000 shares of Gilbert Co. stock at…

A: Companies which have excess cash or ideal cash can invest in fixed deposit or purchase shares of…

Q: The Sneed Corporation issues 10,000 shares of $50 par preferred stock for cash at $75 per share. The…

A: Cash received = 10,000 x $75 = $750,000 Preferred stock = 10,000 x $50 = $500,000 Excess = 10,000 x…

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.