2. Son Corporation's stockholders' equity at December 31, 2016, follows (in thousands):a. $0b. $50,000On January 3, 2017, Son sells 10,000 shares of previously unissued $100 par common stock to Pop Corporation for$1,400,000. On this date the recorded book values of Son's assets and liabilities equal fair values. Goodwill from Pop'sinvestment in Son at the date of purchase is:c. $300,000Capital stock, $100 parAdditional paid-in capitalRetained earningsTotal stockholders' equityd. $400,000$3,000500500$4,000

Goodwill is an intangible asset that arises when a company acquires another company for price which…

Answered: 2. Son Corporation's stockholders'…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Manner, Inc. has 5,000 shares of 6%, $100 par value, noncumulative preferred stock and 20,000 shares of $1 par value common stock outstanding at December 31, 2018. There were no dividends declared in 2017. The board of directors declares and pays a $55,000 dividend in 2018. What is the amount of dividends received by the common stockholders in 2018? Note: show calculation. Essay Toolbar navigation I U
The shareholders’ equity section of Memphis Company as of December 31,2018 before closing its books and recording the 2018 dividends is as follows: Ordinary share, 100,000 shares issued and outstanding P 3,000,000 Ordinary share premium 4,000,000 Retained earnings 8,000,000 Memphis’ board of directors declared a 20% share capital dividend on December 31, 2018 when the market value of each share was P 70. The corporation’s 2018 operations resulted to a loss P 1,200,000. What amount should Memphis report as retained earnings as of December 31, 2018? ____________________
On January 1, 2018, Vermont Maple Corp. had 2,650,000 shares of commons stock issued and outstanding. During 2018, it had the following transactions that affected the common stock account:
How much is the Ordinary Share Capital at year end? please kindly answer
Carlos Company had the following stock outstanding and Retained Earnings at December 31, 2018: Common Stock (par $1; outstanding, 400,000 shares) Preferred Stock, 9% (par $10; outstanding, 18,100 shares) Retained Earnings $ 400,000 181,000 957,000 On December 31, 2018, the board of directors is considering the distribution of a cash dividend to the common and preferred stockholders. No dividends were declared during 2016 or 2017. Three independent cases are assumed: The preferred stock is noncumulative; the total amount of 2018 dividends would be $18,000. The preferred stock is cumulative; the total amount of 2018 dividends would be $15,000. Dividends were not in arrears prior to 2016. Same as Case B, except the amount is $58,000. Case A: Case B: Case C: Required: 1-a. Compute the amount of 2018 dividends, in total, that would be payable to each class of stockholders if dividends were declared as described in each case. 1-b. Compute the amount of 2018 dividends per share payable to…
Smith, Inc., has the following stockholders' equity accounts as of January 1, 2021: Preferred stock-$100 par, nonvoting and nonparticipating, 8% cumulative dividend Common stock-$20 par value Retained earnings $ 2,000,000 4,000,000 10,000,000 Haried Company purchases all of Smith's common stock on January 1, 2021, for $14,040,000. The preferred stock remains in the hands of outside parties. Any excess acquisition-date fair value will be assigned to franchise contracts with a 40-year remaining life. During 2021, Smith reports earning $450,000 in net income and declares $360,000 in cash dividends. Haried applies the equity method to this investment. a. What is the noncontrolling interest's share of consolidated net income for this period? b. What is the balance in the Investment in Smith account as of December 31, 2021? c. What consolidation entries are needed for 2021?
Investments in Stocks--Equity Method or FVTOCI Financial Assets--Equity According to the statements, prepare the appropriate journał entries, and calculate the differences.. Tony Ltd. acquired 30% of the outstanding ordinary shares of Chang Company on January 1, 2018, by paying $900,000 for the 90,000 shares. Chang declared and paid $0.15 per share cash dividends on March 15, June 15, September 15, and December 15, 2018. Chang reported net income of $160,000 for the year. At December 31, 2018, the market price of Chang ordinary shares was $12 per share. Required: 1. Prepare the journal entries for Tony Ltd. for 2018, assuming Tony Ltd. cannot exercise significant influence over Chang, and Tony Ltd. made an irrevocable election to treat the equity investment as fair value through other comprehensive income. 2.: Prepare the journal entries for Tony Ltd. for 2018, assuming Tony Ltd. can exercise significant influence over Chang. Tadicate the statement of financial position and income…
3. How much is the TOTAL subscribed share capital (assuming subscriptions receivable is collectible on January 5, 2022)? 4. How much is the TOTAL share premium?
As of the end of Year 1, the shareholders’ equity of Philip Corporation consisted of: Common stock, 80,100 shares at $1 par $ 80,100 Paid-in capital—excess of par 168,210 Retained earnings 121,000 At the beginning of Year 2, the company repurchased and retired 1,100 shares at $8.10 per share. Prepare the appropriate journal entry for the repurchase and retirement of the shares. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field
63. A partial list of the accounts and ending account balances taken from the post-closing trial balance of Debilitate Corporation on December 31, 2016 is shown as follows: Retained earnings – Unappropriated 410,000 Bonds payable 220,000 Ordinary share subscribed 50,000 Long-term investments in equity securities 210,000 Additional paid-in capital on ordinary shares 460,000 Premium on bonds payable 30,000 Authorized ordinary share at P10 par value 900,000 Preference shares subscribed 45,000 Additional paid-in capital on preference shares 112,000 Authorized preference shares at P50 par value 400,000 Gain on sale of treasury shares 4,000 Unrealized increase in value of securities available-for-sale 3,000 Ordinary share warranty outstanding 20,000 Unissued ordinary shares 500,000 Unissued preference shares 100,000 Cash dividends payable – preference 50,000 Donated capital 25,000…
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