PROBLEM 11: On October 31, 2014, A5C Inc. deciared a building held as owner-occupied property withan original life of 10 years as dividend distrihutable to stockholders on January 31 of the following year.This was acquired at P800,000 on October 21, 2013. The property had fair market value P900,000 onOctober 31, 2014. On December 31, 2014 the value of the property declined to P700,000.The property was transferred to shareholders on January 31 when the prevailing fair value was atP800,000.41. The entry to record the declaration of the property dividends would include a debit to retainedearnings of:a. 700,000b. 800,000c. 900,000d. 1,000,000

Property dividend refers to a dividend paid to investors in the form of assets. The issuer…

The property was transferred to shareholders on January 31 when the prevailing fair value was at P800,000. 41. The entry to record the declaration of the property dividends would include a debit to retained earnings of: a. 700,000 b. 800,000 C. 900,000 d. 1,000,000

The property was transferred to shareholders on January 31 when the prevailing fair value was at P800,000. 41. The entry to record the declaration of the property dividends would include a debit to retained earnings of: a. 700,000 b. 800,000 C. 900,000 d. 1,000,000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter22: Accounting For Changes And Errors.

Section: Chapter Questions

Problem 11E: On January 1, 2014, Klinefelter Company purchased a building for 520,000. The building had an...

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Concept explainers

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.

Question

PROBLEM 11: On October 31, 2014, A5C Inc. deciared a building held as owner-occupied property with
an original life of 10 years as dividend distrihutable to stockholders on January 31 of the following year.
This was acquired at P800,000 on October 21, 2013. The property had fair market value P900,000 on
October 31, 2014. On December 31, 2014 the value of the property declined to P700,000.
The property was transferred to shareholders on January 31 when the prevailing fair value was at
P800,000.
41. The entry to record the declaration of the property dividends would include a debit to retained
earnings of:
a. 700,000
b. 800,000
c. 900,000
d. 1,000,000

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