An entity provided the following equity balances at year-end: 10% preference share capital, 30,000 shares, par P100 3,000,000 Ordinary share capital, 50,000 shares, par 100 5,000,000 Share premium 1,000,000 Retained earnings 2,000,000 The preference shares have a call price of120, a liquidation price of 115 and dividends have not been paid for 3 years. What is the book value per preference share?
An entity provided the following equity balances at year-end: 10% preference share capital, 30,000 shares, par P100 3,000,000 Ordinary share capital, 50,000 shares, par 100 5,000,000 Share premium 1,000,000 Retained earnings 2,000,000 The preference shares have a call price of120, a liquidation price of 115 and dividends have not been paid for 3 years. What is the book value per preference share?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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An entity provided the following equity balances at year-end:
10%
Ordinary share capital, 50,000 shares, par 100 5,000,000
Share premium 1,000,000
The preference shares have a call price of120, a liquidation price of 115 and dividends have not been paid for 3 years.
What is the book value per preference share?
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