At the beginning of the current year, Ace Company declared 10% stock dividend. The market price of the entity’s 30,000 outstanding shares of20 par value was P90 per share on that date. The stock dividend was distributed on July 1, when the market price was P100 per share. What amount should be credited to share premium for the stock dividend?
At the beginning of the current year, Ace Company declared 10% stock dividend. The market price of the entity’s 30,000 outstanding shares of20 par value was P90 per share on that date. The stock dividend was distributed on July 1, when the market price was P100 per share. What amount should be credited to share premium for the stock dividend?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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. At the beginning of the current year, Ace Company declared 10% stock dividend. The market price of the
entity’s 30,000 outstanding shares of20 par value was P90 per share on that date.
The stock dividend was distributed on July 1, when the market price was P100 per share.
What amount should be credited to share premium for the stock dividend?
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