TYLER company, has sustained heavy losses over a period of time and conditions warrant that TYLER undergo a quasi reorganization on December 31, 2012. *Inventory with cost of P26,000,000 was recorded on December 31, 2012 at its market value of P24,000,000. *Property, Plant & Equipment were recorded on December 31, 2012 at P48,000,000, net of accumulated depreciation. The sound value was P32,000,000. *On December 31, 2012, the share capital is P28,000,000 consisting of 2,800,000 shares with par value of P10, the share premium is P6,400,000, and the deficit in retained earnings is P3,600,000. *The par value of the share is to be reduced from P10 to P5. Immediately after the quasi-reorganization, what is the total shareholders’ equity?
#25
TYLER company, has sustained heavy losses over a period of time and conditions warrant that
TYLER undergo a quasi reorganization on December 31, 2012.
*Inventory with cost of P26,000,000 was recorded on December 31, 2012 at its market value of
P24,000,000.
*Property, Plant & Equipment were recorded on December 31, 2012 at P48,000,000, net of
*On December 31, 2012, the share capital is P28,000,000 consisting of 2,800,000 shares with
par value of P10, the share premium is P6,400,000, and the deficit in
P3,600,000.
*The par value of the share is to be reduced from P10 to P5.
Immediately after the quasi-reorganization, what is the total shareholders’ equity?
P14,800,000 pls provide correct solution for the given answer
Step by step
Solved in 2 steps
