7. How much is the Retained earnings, BEGINNING, unrestricted? On December 31, 2021, the statement of financial position of FRUITS Company showed the following shareholders' equity accounts: ● ● Ordinary shares, par $50, authorized 100,000 shares, issued 85,000 shares, in treasury 7,500 shares - 4,250,000 12% Preference shares, par $75, authorized 50,000 shares, issued 20,000 shares, in treasury 4,000 shares - 1,500,000 Share premium in excess of par - 862,500 Reserve for Treasury shares - 725,000 Treasury ordinary shares - 435,000; Treasury preference shares - P 290,000 Retained earnings, unrestricted - 2,168,000 Net income for the year - 762,000 Cash dividends declared - 194,000; 2 years in arrears, current year is not yet included
7. How much is the Retained earnings, BEGINNING, unrestricted? On December 31, 2021, the statement of financial position of FRUITS Company showed the following shareholders' equity accounts: ● ● Ordinary shares, par $50, authorized 100,000 shares, issued 85,000 shares, in treasury 7,500 shares - 4,250,000 12% Preference shares, par $75, authorized 50,000 shares, issued 20,000 shares, in treasury 4,000 shares - 1,500,000 Share premium in excess of par - 862,500 Reserve for Treasury shares - 725,000 Treasury ordinary shares - 435,000; Treasury preference shares - P 290,000 Retained earnings, unrestricted - 2,168,000 Net income for the year - 762,000 Cash dividends declared - 194,000; 2 years in arrears, current year is not yet included
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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7. How much is the Retained earnings, BEGINNING, unrestricted?
Transcribed Image Text:7. How much is the Retained earnings, BEGINNING, unrestricted? *
On December 31, 2021, the statement of financial position of FRUITS Company showed the
following shareholders' equity accounts:
Ordinary shares, par P50, authorized 100,000 shares, issued 85,000 shares, in treasury
7,500 shares - P 4,250,000
12% Preference shares, par P75, authorized 50,000 shares, issued 20,000 shares, in
treasury 4,000 shares - P 1,500,000
Share premium in excess of par - P 862,500
Reserve for Treasury shares - 725,000
Treasury ordinary shares - P 435,000; Treasury preference shares - P 290,000
Retained earnings, unrestricted -P 2,168,000
Net income for the year - P 762,000
Cash dividends declared - 194,000; 2 years in arrears, current year is not yet included
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