8. Late Co. has the following shareholders 1,000,000 Share capital, P100 par, 10,000 shares Share premium Retained earnings Total shareholders' equity 200,000 300,000 1,500,000 Late Co. recalled the 10,000 outstanding shares and replaced them with 20,000 no-par shares with stated value of P5 per share. How much is the share premium after the recapitalization? c. 1,100,000 a. 200,000 b. 1,000,000 d. 0

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Answer only number 8
XPalatino Linotype
10.5 -
IU ab x, x'
Styles Editing
Paste
A- "y.
A.
• Aa -
A A
Font
Paragraph
GIStyles
Clipboard G
dividend of P200,000 was declared. What amount of dividends is payable to the ordinary
shareholders?
c. 176,000
a. 156,000
b. 167,000
nyti
d. 184,000
8. Late Co. has the following shareholders' equity:
Share capital, P100 par, 10,000 shares
Share premium
Retained earnings
1,000,000
200,000
300,000
1,500,000
Total shareholders' equity
et v
Late Co. recalled the 10,000 outstanding shares and replaced them with 20,000 no-par shares with
stated value of P5 per share. How much is the share premium after the recapitalization?
c. 1,100,000
d. 0
M
a. 200,000
b. 1,000,000
9. During 2002, the following transactions related to the capital stock of the Buffet-Line Corp.
reh
occurred:
Declared a P.75 cash dividend on 150,000 shares of preferred stock.
Paid dividends on preferred stock.
Declared a P.50 cash dividend on 200,000 shares of common stock with a P20 par
Jan. 7
Feb. 7
March 4
value.
Mar. 18
Paid dividends on common stock.
Transcribed Image Text:XPalatino Linotype 10.5 - IU ab x, x' Styles Editing Paste A- "y. A. • Aa - A A Font Paragraph GIStyles Clipboard G dividend of P200,000 was declared. What amount of dividends is payable to the ordinary shareholders? c. 176,000 a. 156,000 b. 167,000 nyti d. 184,000 8. Late Co. has the following shareholders' equity: Share capital, P100 par, 10,000 shares Share premium Retained earnings 1,000,000 200,000 300,000 1,500,000 Total shareholders' equity et v Late Co. recalled the 10,000 outstanding shares and replaced them with 20,000 no-par shares with stated value of P5 per share. How much is the share premium after the recapitalization? c. 1,100,000 d. 0 M a. 200,000 b. 1,000,000 9. During 2002, the following transactions related to the capital stock of the Buffet-Line Corp. reh occurred: Declared a P.75 cash dividend on 150,000 shares of preferred stock. Paid dividends on preferred stock. Declared a P.50 cash dividend on 200,000 shares of common stock with a P20 par Jan. 7 Feb. 7 March 4 value. Mar. 18 Paid dividends on common stock.
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