1. On January 6, 2021, AAU Corporation has 30,000 shares of authorized andissued P20 par value ordinary, of which 2,000 shares are held in thetreasury. On this date, the board of directors declared a P4 per share cashdividends payable on March 31, 2021 to shareholders of record on March1, 2021.2. BBT Corporation has 10,000 shares of ordinary shares issued andoutstanding, P20 par. The board of directors declared a 10% share dividendswhen the market value of the share was P22 per share.Give the journal entries to record the declaration and the distribution ofshare dividends.3. On April 30, 2021, the board of directors of DDT Corporation declared a P5cash dividend per share representing P3 per share as distribution of income,and P2 per share as liquidating dividends. As of this date, the corporationhas 10,000 shares issued and outstanding.Requirement:Give the journal entries for the foregoing transactions.

The journal entries to record the declaration and distribution of share dividends are presented…

1. On January 6, 2021, AAU Corporation has 30,000 shares of authorized and issued P20 par value ordinary, of which 2,000 shares are held in the treasury. On this date, the board of directors declared a P4 per share cash dividends payable on March 31, 2021 to shareholders of record on March 1, 2021.

1. On January 6, 2021, AAU Corporation has 30,000 shares of authorized and issued P20 par value ordinary, of which 2,000 shares are held in the treasury. On this date, the board of directors declared a P4 per share cash dividends payable on March 31, 2021 to shareholders of record on March 1, 2021.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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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

1. On January 6, 2021, AAU Corporation has 30,000 shares of authorized and
issued P20 par value ordinary, of which 2,000 shares are held in the
treasury. On this date, the board of directors declared a P4 per share cash
dividends payable on March 31, 2021 to shareholders of record on March
1, 2021.
2. BBT Corporation has 10,000 shares of ordinary shares issued and
outstanding, P20 par. The board of directors declared a 10% share dividends
when the market value of the share was P22 per share.
Give the journal entries to record the declaration and the distribution of
share dividends.
3. On April 30, 2021, the board of directors of DDT Corporation declared a P5
cash dividend per share representing P3 per share as distribution of income,
and P2 per share as liquidating dividends. As of this date, the corporation
has 10,000 shares issued and outstanding.
Requirement:
Give the journal entries for the foregoing transactions.

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