Which of the following transactions DOES NOT require any postings to the ledger? O Authorization of share capital under the memorandum entry method O Reversal of appropriation for contingencies Sale of donated shares under the cost method O Reacquisition of shares from delinquent subscription when there is no bidder
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A: Answer
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- Which statement is incorrect? * a. Shares, issued in exchange for the settlement of a liability, are included in EPS calculation from the settlement date. b. Shares, that will be issued upon the conversion of a mandatorily convertible instrument, are included in the calculation of basic EPS from the date the contract is entered into. c. Contingently-issuable shares are treated as outstanding, and are included in the calculation of basic EPS from the date when all necessary conditions are satisfied. none of the aboveWhich of the following statements is true in relation to the call price of preference shares? The call price is used in computing book value per share. In the absence of call price, the liquidation value is disregarded and the par or stated value is instead used. The call price is the amount paid to preference shareholders upon redemption of preference shares during the lifetime of the entity. All of these statements are true.11. What shall be the proper treatment of donated shares from stockholders? Group of answer choices a. They shall be credited to share premium at cost at the date of donation. b. They shall be credited to share premium at fair value at the date of donation. c. They shall be credited to share premium at par value at the date of donation. d. They are recorded by memorandum entry at the date of donation but the reissue or resale of donated shares increases assets and donated capital from share premium.
- A company may not issue its shares_________. Select one: a. directly to investors b. through an investment institution that specializes in market the marketing of shares c. only after receiving the full issue value d. only at par value of sharesOne difference between the award of restricted stock shares (RSS) verses restricted stock units (RSU) is that RSS recognizes Deferred Compensation on the date of grant and RSU does not recognize anything on the date of grant. O True O FalseSubscriptions receivable from sale of shares which are not collectible currently shall be presented asRequired to answer. Single choice. a. current assets b. deduction from the related subscribed share capital in the shareholder's equity section c. long-term investment d. other asset.
- Which statement is incorrect? * A. EPS disclosures are required for entities whose ordinary shares are publicly traded as well as entities that are in the process of issuing ordinary shares in the public market. B. When an entity issues both consolidated ad separate financial statements, the EPS information is required for the consolidated financial statements only. C. In computing basic EPS, the amount of preference dividends on noncumulative preference shares for the period should be deducted from net income whether declared or not D. In computing the weighted average of shares outstanding, when a share dividend or share split occurs, the additional shares are considered outstanding at the beginning of the earliest year reported. E. none of the aboveWhen non-par value shares are reacquired at a cost greater than their average issue price and cancelled, what account(s) should be debited? Select one: a. The share account for the total cost. b. The share account for the average issue price, contributed surplus-repurchases up to its account balance, other contributed surplus relating to this class of shares in proportion to the number of shares repurchased versus outstanding and lastly retained earnings for any remaining amount. c. The share account for the average per share amount, retained earnings for the additional amount, and lastly contributed surplus for any remaining amount. d. The share account for the average per share amount and a loss account for the additional amount. e. none of the above answers are correct.Which statement is incorrect regarding equity-settled share-based payment transactions? A. the issuance of shares to employees with say, a two year vesting period is considered to relate to services over the vesting period. B. the issuance of shares or rights to shares requires an increase in a component of equity C. the fair value of a share-based payment transaction is determined at the date of exercise. D. the issuance of fully vested shares, or rights to shares, is presumed to relate to past service, requiring the full amount of the grant-date fair value to be expensed immediately. Provided the specified vesting conditions, if any, are met, share-based payment arrangement is an agreement between the entity and another party that entities the other party to receive A. equity instruments of the entity or another group entity B. none of the choices C. receives goods or services from the supplier of those goods or services in a…
- 1. What is the accounting for treasury share transactions? a. On repurchase or re-issuance of previously purchased own shares, no gain or loss is recognized. b. Treasury shares are accounted for as financial assets. c. On re-issuance of treasury shares, a gain or loss is recognized equal to the difference between the previous repurchase price and the re-issuance price. d. On repurchase of treasury shares, a gain or loss is recognized equal to the difference between the amount at which the shares were issued and the repurchase price for the shares. . 2. If a no-par value share is issued... a. The value of each share is automatically ₱5. b. The corporation is automatically in violation of its state charter. c. There is no legal capital. d. The entire proceeds is considered as legal capital. . 3 Which of the following statements relating to bonds is incorrect? a. None of the choices b. A bond’s face value is the amount the issuer must pay…24. What shall be the proper treatment of donated shares from stockholders? Group of answer choices They shall be credited to share premium at cost at the date of donation. They shall be credited to share premium at fair value at the date of donation. They shall be credited to share premium at par value at the date of donation. They are recorded by memorandum entry at the date of donation but the reissue or resale of donated shares increases assets and donated capital from share premium.When share options issued to employees are vested prior to the predetermined vesting date, the entity shall do nothing recognize a gain for the unamortized balance make a transfer among equity components recognize additional expense for the unamortized balance