TOTAL LEGAL CAPITAL
Q: Define the term capital expenditure.
A:
Q: What are the different factors affecting the requirements of working capital? Enumerate.
A: Working Capital- It is the fund that is required by a company for managing its day -to-day working…
Q: How much is legal capital?
A: it's the nominal value of all the accumulative shares issued by the corporate. for example, if a…
Q: Describe the Capital Expenditure process
A: Capital expenditure as the term suggest is a one time usually a balance sheet item. Usually a…
Q: How to Make Reporting for Capital Position According to PSAK?
A: Financial reporting:Financial reporting can be defined as the financial information of organization…
Q: Define thoroughly what is Capital and give its composition
A: Capital is the amount of cash or any other assets that are being invested in the business. Capital…
Q: What is Financial Capital to you? Can you define financial capital and physical capital?
A: Capital Capital is referred to as anything through which the owner can confer benefit or value and…
Q: What is working capital
A: The current assets are the assets that can be converted into cash within one year. Current…
Q: How should you record capital expenditure? Debit a liability Debit capital Debit an expense Debit…
A: Capital expenditure: Capital expenditure refers to the expenditures that are incurred to increase…
Q: What exactly is the analytic hierarchy process (AHP) and how can it be used to the process of making…
A: ANALYTIC HIERARCHY PROCESS: It is the method for managing and identifying, organizing the complex…
Q: What is issued capital? How does it differ from Authorized capital?
A: Company needs the funds for business purpose. Hence, Company raise capital.
Q: briefly the concept of the capital components of the capital adequacy framework and provide an…
A: The capital adequacy ratio (CAR) is a ratio used to know the relationship between the bank's…
Q: What is operating capital?
A: Introduction: In any business, operating capital is the most important asset that enables a company…
Q: What are two kinds of paid-in capital accounts?
A: Paid in capital is amount raised by companies by issues of common stock or preferred stock.Paid in…
Q: How much is the total expense? How much is the net income? What is the balance of the ending…
A: Accounting equation of the business says that total assets must be equal to total liabilities and…
Q: categories of paid in capital
A: The shares paid by the equity shareholder’s equity section are known as paid in capital. The capital…
Q: What are the Required disclosures about each major class of capital assets?
A: Capital asset refers to the assets with a longer useful life i.e. more than a year and is not…
Q: What is Capital, Capitalization and Capital Structure in your own words.
A: Entrepreneurs use startup capital to cover any or all of the costs associated with starting a new…
Q: What is Owner’s Capital or Equity Financing? Asap
A: Equity financing refers to the practice of raising funds by selling stock. Companies raise funds for…
Q: What is the difference between capital expenditure and revenue expenditure? Give an example of each.
A:
Q: What is the difference between authorized capital, issued capital and additional paid in capital?
A: The assets and cash of a firm are referred to as capital. Capital might be cash, machinery,…
Q: Why should the capital expenditures be capitalized?
A: Capital Expenditures: Capital expenditures are those which provide future economic benefits by…
Q: What is capital? Give the composition
A: Capital means the amount that belong to the business or owner of the enterprise. Capital means the…
Q: What is the capital structure
A: The capital structure was its unique mixture of equity and debt that a business uses to fund its…
Q: How did the term working capital originate?
A: Introduction: Working capital can be defined as the necessary financial resources needed by a firm…
Q: What is capital structure and why it is important?
A: Introduction: While selecting a capital structure main motive of the company is shareholders wealth…
Q: When should the investment in working capital be treated as capital expenditure?
A: Working capital: It is the form of capital used by the business for day-to-day operations. Working…
Q: What is meant by capital structure?
A: CAPITAL STRUCTURE IS THE MIX OF THE LONG-TERM SOURCES OF FUNDS USED BY A FIRM . IT IS MADE UP OF…
Q: How Examples of questions and answers regarding reporting for the capital position according to PSAK…
A: Financial reporting: Financial reporting can be defined as the financial information of organization…
Q: Define Property Dividends.
A: The dividend is the income of the shareholders for their shareholdings in the company. The equity…
Q: What is net working capital?
A: Net working capital: Net working capital is also known as the working capital. To compute the net…
Q: compare ordinary assets from capital assets
A: Ordinary Assets:- A per tax code Ordinary Assets are the assets which are held by the tax payer for…
Q: How many main categories of paid-in capital are there? And what are?
A: Paid-in capital means capital contributed by the owners [stockholders' equity]. Company can issued…
Q: How much is the legal capital?
A: Legal capital refers to the par value/stated value of the shares issued.
Q: What is working capital?
A: Working capital is the difference between current assets and current liabilities. It is a measure of…
Q: What is a capital expenditure versus a revenue expenditure?
A:
Q: Explain, using practical example how Capital expenditure should be capitalized?
A: Capital expenditure can be defined as an expense made for the purchase of a long-term physical or…
Q: What does it mean when someone refers to acompany’s capital structure?
A: Every business needs money and funds in order to run its operations effectively. There are various…
Q: What do you mean by working capital policy?
A: The working capital policies involve determining the sources of finance and allocation of the…
Q: how do you find the owner's capital?
A: Accounting is primarily concerned with identifying, recording, measuring, summarizing transactions…
Q: What is a simple capital structure?
A: Capital structure Capital structure refers to a combination or mix of equity and debt in order to…
Q: What are the effects of Working Capital?
A: A business needs to meet both short-term and long-term financial requirements.
Q: Describe the effects of Working Capital?
A: Working capital:- A business needs to meet short-term expenses and financial needs arising out of…
WHAT IS THE TOTAL LEGAL CAPITAL?
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- Bulgasal Company provided the following data: 2020 2021 Share capital (P100 par value) 5,000,000 5,850,000 Share premium 1,000,000 1,600,000 Retained Earnings 3,400,000 4,500,000 During the current year, the entity declared and paid cash dividends or P1,000,000 and also declared and issued a share dividend. There were no other changes in shares issued and outstanding during the year. What is the net income for the current year? Present solutions in good accounting form. No parenthetical solutions. Thanks and God bless!ABC Company provided the following information on December 31, 2020Share capital 5,000,000Subscribed share capital 3,000,000Subscription receivable 2,000,000Share premium 1,500,000Treasury Shares, at cost 700,000Retained Earnings 1,000,000Cumulative unrealized gain on Financial Asset at FVOCI 600,000What is the contributed capital on December 31, 2020?Paul Company presented the following information pertaining to its investments in equity securities. FVPL FVOCICost P1,000,000 P1,000,000Market value December 31, 2020 1,050,000 980,000 December 31, 2019 950,000 920,000 2.What amount should Paul report as unrealized gains/losses in the shareholders' equity of its December 31, 2020 statement of financial position?
- The balance in the retained earnings of HAWKEYE Corporation on December 31, 2020 and 2021 respectively are P720,000 and P582,000. The net income for 2021 was P500,000. A share dividend was declared and distributed which increased ordinary share capital by P200,000 and share premium by P110,000. A cash dividend was declared and paid. What is the amount of cash dividends declared and paid? a. ₱ 638,000 b. ₱ 442,000 c. ₱ 328,000 d. ₱ 248,000HHH Company provided for the following shareholders’ equity on December 31, 2020: Share capital, P100 5,000,000 Share premium 1,000,000 Retained earnings unappropriated 1,500,000 Retained earnings appropriated for contingencies 500,000 Revaluation surplus 800,000 8,800,000 Compute for the book value per share on December 31, 2020- What is the unrealized gain (loss) reported in profit or loss for the year 2021?A. P31,000B. (P31,000)C. P43,000D. (P43,000) - How much was the gain or loss on the sale of CD shares? A. P1,100 gain B. P2,000 gain C. P15,000 loss D. P15,900 loss
- The Statement of Financial Position (SFP) of Arthur Corporation on June 30, 202X is presented below:Current Assets P195,000Land 1,320,000Building 660,000Equipment 525,000Total Assets P2,700,000Liabilities P525,000Ordinary Shares, P5 par 900,00Share Premium 825,000Retained Earnings 450,000Total Equities P2,700,000All the assets and liabilities of Arthur were assumed to approximate their fair values except for land and building. It is estimated that the land has a fair value of P2,100,000, and the fair value of the building increased by P480,000. Ezekeil Corporation acquired 80% of Arthur’s outstanding shares for P3,000,000. The non-controlling interest is measured at fair value.Required:a. Determine the goodwill or gain on bargain purchase assuming the consideration paid includes control premium of P852,000. Determine the goodwill or gain on bargain purchase assuming the consideration paid excludes control premium of P138,000 and the fair value of the non-controlling interest is…The following data pertains to Kyne Co.’s investments in marketable equity securities: Market value Cost 12/31/22 12/31/23XYZ Stock 150,000 $155,000 $100,000ABC Stock $150,000 130,000 120,000 What amount should Kyne include as unrealized holding loss in its 2023 Net Income?a) $50,000b) $55,000c) $60,000d) $65,000e) $5,000Red Company had the following portfolio of equity securities to other comprehensive income at December 31, 2018:Security Cost Market ValueA 400,000 390,000B 700,000 660,000Total 1,100,000 1,050,000If Red Company would have to sell the securities transaction cost will be incurred as follows; P20,000 and P30,000 for security A and B, respectively. In Red's December 31, 2018 statement of financial position, how much should be reported as the carrying value of the portfolio? a. 1,050,000 b. 1,060,000 c. 1,100,000 d. 1,110,000
- Color Unite Company reported the following on December 31, 2020:8% cumulative preference share capital, P50 par value 4,500,000 Ordinary share capital, P1 par, 10,000,000 shares 10,000,000Share Premium 20,000,000Retained earnings, January 1, 2020 132,000,000Net Income for 2020 35,000,000 The net income included an expropriation loss of P8,000,000. What amount should be reported as basic earnings per share?A. 3.46B. 4.04C. 4.63D. 3.67During 2021, Opulence Company purchased marketable equity securities as short-term investment to be measured at fair value through other comprehensive income. The cost and market value on December 31, 2021 were: Security Cost Market value A 1,000 shares 300,000 350,000 B 10,000 shares 1,700,000 1,550,000 C 20,000 shares 3,150,000 2,950,000 The entity sold 10,000 shares of B on January 5, 2022 for P 1,450,000 What total amount should be charged to Retained Earnings as a result of the sale of equity securities in 2022?Problem 1 (Adapted)The shareholders’ equity of Yelan Company showed the following account balances on December 31, 2018:Share capital, P100 5,000,000Share Premium 1,000,000Retained earnings 2,000,000Revaluation surplus 800,000 Compute the book value per share on December 31, 2018.
