ABC Corporation has P10 par, 5,000,000 shares outstanding as of October 31, 2022. On November 15, 2022, the company declared a 10% stock dividend distributable to shareholders of record as of October 31, 2022, payable on January 15, 2023. The fair market value of ABC Corporation as of October 31, 2022-P12.00 ⚫November 15, 2022-P13.00 ⚫December 31, 2022-P11.75 ⚫ January 15, 2023-P11.00 Entry to record the declaration of dividend should include an entry to retained earnings amounting

Q: BFAR Company has the following transactions: • Acquired 8,000 shares of its own outstanding shares…

A: Treasury stock: Shares that are bought back by the company from the open market but not retired from…

Q: On January 01, 2022, DEF Company provided the following information:    Ordinary share capital,…

A: Diluted earning per share- Diluted earnings per share (EPS) informs existing equity investors of the…

Q: The equity section of CFAS Company revealed the following information on December 31, 2022:…

A: Contributed capital is a portion of an organization's total equity. It might be a separate account…

Q: The H2 Corp has the following classes of share capital outstanding as of Dec 31, 2021. Ordinary…

A: Preferred shares are paid dividend each year but often they are not paid each year but remaining…

Q: ABC has the following share capital outstanding during 2021 and 2022: Preference shares P100 par,…

A: EPS = (net income - preferred dividends)/no. of ordinary shares outstanding

Q: On the sale of treasury stock dated September 1, 2021, how much is the gain realized? On January 1,…

A: Treasury stock: Shares that are bought back by the company from the open market but not retired from…

Q: n April 8, 2019, GODLY Corporation declared and issued a 25% ordinary share capital dividend. Prior…

A: The amount to be debited to retained earnings will be equal to the total par value of shares issued…

Q: 1. On December 31, 2021 and 2020, Go Company had 100,000 ordinary shares and 10,000 cumulative…

A: Dividend means the amount given to shareholder of the company as profit distribution by  company.…

Q: On October 31, 2020, ABC Company declared a dividend of $ 2.00 per share to be paid on November 15,…

A: Liquidating dividend is the dividend which is paid in excess of the company's accumulated…

Q: Andromeda Corp. reported the following shareholders’ equity on December 31, 2023: 12% cumulative…

A: Solution:The book value per preference share :First we calculate cumulative dividend arrears…

Q: ABC Corporation provided you the following information on January 01, 2021: Share capital, P10 par…

A: The journal entries are prepared to keep the record of day to day transactions of the business. The…

Q: ABC has the following share capital outstanding during 2021 and 2022: Preference shares, P100 par,…

A: Cumulative Preference shares are one of the type preference shares. These shares carry preference…

Q: The accounts below appear in the December 31, 2019 balance of J Company: Authorized ordinary share…

A: Shareholders’ equity is the total amount of money that is invested by the owners of a company.

Q: PROBLEM NO. 1 Watusi Inc. began operations in January 2021 and reported the following results for…

A: Share: -The capital of the company is divided into small units. these small units are known as…

Q: The shareholders' equity of CCC Corp. on Dec. 31, 2023 shows the following balances: 7% Preference…

A: Ordinary shares, often referred to as common shares or common stock, signify ownership in a business…

Q: ABC, Inc. has 30,000 shares of P10 par value ordinary share capital issued and outstanding as of…

A: Shares is an important source of finance for the business. There can be common shares or preference…

Q: The shareholders' equity of Naruto Corporation as of March 1, 2020 is presented below: Ordinary…

A: Dividend is the amount paid by a company to its shareholders when they earn a good amount of profit…

Q: January 1, 2020 April 1, 2020 October 1, 2020 Shares outstanding Shares issued Treasury shares…

A: As per IAS 33 Earnings per share Treasury shares are own shares of company purchased by company…

Q: JJJ Company provided the following information: Net income for 2020 11,000,000 Net income for 2021…

A: A theoretical ex-rights price is the market price that a stock will theoretically have following a…

Q: Table B below contains data related to Cabbage Ltd.'s capitalization at January 1, 2018. Cabbage…

A: Basic EPS and Diluted EPS: The basic EPS gives the total net income per share that's attributable to…

Q: P5,000,000 Unissued ordinary share capital                                 2,000,000 Subscribed…

A: Shareholders’ equity is the total amount of money that is invested by the owners of a company.

Q: Find the:  1. The balance of the “Shareholders’ Equity” account of the company’s balance sheet as…

A:

Q: At December 31, 2021, Azores Corp. had 20,000 shares of P1 par value treasury shares that had been…

A: Given data, Shares repurchased =20,000 Acquisition price per share =P12 Therefore, Acquisition cost…

Q: The H2 Corp has the following classes of share capital outstanding as of Dec 31, 2021. Ordinary…

A: Ordinary Shares: 20,000 Shares  Par Value of Ordinary Shares: P20 Preference Shares: 2,000 shares…

Q: ABC Corporation has P10 par, 5,000,000 shares outstanding as of October 31, 2022. On November 15,…

A: The dividend is declared to the shareholders from the cumulative profits of the business. The share…

Q: Jones Company reported the following shareholders’ equity on January 1, 2020: • Share capital, P5…

A: The share premium is the excess value received as compared to par value of shares.

Q: Ng Company had 34 million shares of $2 par common stock outstanding on January 1, 2024 in October…

A: The dividend is a method of distributing profits among shareholders. Shareholders have the…

Q: XYZ Corporation reported the following shareholders equity on December 11, 2021 8% cumulative…

A: The following information given: 1. 8% cumulative preference share capital, P50 par, liquidating…

Q: The H2 Corp has the following classes of share capital outstanding as of Dec 31, 2021. Ordinary…

A: *Preference shares are of nine types, one of them is Cumulative and participating preference shares.…

Q: The capital accounts of SEB Company as of yearend 2021 are as follows: Ordinary Share Capital (P10…

A: Total market value of Ordinary Share Capital  = Ordinary Share Capital  + Share Premium = 500,000 +…

Q: The following partial information is taken from the comparative balance sheet of Levi Corporation:…

A: The treasury stock decreases the number of outstanding shares and total shareholder's equity of the…

Q: 1. On January 1, 2021, Aeropagus Company has P4,970,800 share capital, P6,780,00 share premium and…

A: Answer A stock dividend is a dividend payment to shareholders, it is made in shares rather than…

Q: Riley Company paid cash dividends of P840,000 and reported net income of P2,170,000. The ordinary…

A: Book value of ordinary share is the the total ordinary shareholders equity plus net income less cash…

Q: At December 31, 2024, MedX Corporation had outstanding 200,000 shares of common stock. Also…

A: The earning per share is the measure used by the investor when making investment decisions.…

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.