Black Bulls Corp. Issued 10,000 shares of its P10 par value shares for a building. The building has a fair value of P500,000 and a book value of P400,000. Black Bulls’ ordinary share is currently selling for P45 per share. Black Bulls Corporation should record the building at a) P100,000 b) P450,000 c) P500,000 d) P400,000
Black Bulls Corp. Issued 10,000 shares of its P10 par value shares for a building. The building has a fair value of P500,000 and a book value of P400,000. Black Bulls’ ordinary share is currently selling for P45 per share. Black Bulls Corporation should record the building at a) P100,000 b) P450,000 c) P500,000 d) P400,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Black Bulls Corp. Issued 10,000 shares of its P10 par value shares for a building. The building has a fair value of P500,000 and a book value of P400,000. Black Bulls’ ordinary share is currently selling for P45 per share. Black Bulls Corporation should record the building at
a) P100,000 b) P450,000 c) P500,000 d) P400,000
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education