ABC Company began operations on January 1, 2021 with P2,000,000 from the issuance of shares and borrowed funds of P450,000. Net income for 2021 was P400,000 and ABC paid a P225,000 cash dividend on December 23, 2021. No additional transactions affected the shareholders' equity in 2021. At December 31, 2021, liabilities had increased to P897,000. In ABC's December 31, 2021 statement of financial position, how much should be reported as its total assets?
ABC Company began operations on January 1, 2021 with P2,000,000 from the issuance of shares and borrowed funds of P450,000. Net income for 2021 was P400,000 and ABC paid a P225,000 cash dividend on December 23, 2021. No additional transactions affected the shareholders' equity in 2021. At December 31, 2021, liabilities had increased to P897,000. In ABC's December 31, 2021 statement of financial position, how much should be reported as its total assets?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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ABC Company began operations on January 1, 2021 with P2,000,000 from the issuance of shares and borrowed funds of P450,000. Net income for 2021 was P400,000 and ABC paid a P225,000 cash dividend on December 23, 2021. No additional transactions affected the shareholders' equity in 2021. At December 31, 2021, liabilities had increased to P897,000. In ABC's December 31, 2021
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