December 31, 20 Required:

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Endless Company provided the following shareholders
Problem 18-2 (ACP)
equity on December 31, 2021:
Preference share capital, l12% P100 par
Ordinary share capital, P100
Share premium
Retained earnings
1,000,000
4,000,000
2,000,000
1,000,000
Dividends have been paid on the preference share un in
December 31, 2019.
Required:
Compute the book value per ordinary share and pen
preference share under each of the following conditions with
respect to preference share:
a. Cumulative and fully participating
b. Cumulative and fully participating after ordinary share
receives 15%:
c. Cumulative and participating up to l16%
d. Cumulative and nonparticipating
e. Noncumulative and nonparticipating
Transcribed Image Text:Endless Company provided the following shareholders Problem 18-2 (ACP) equity on December 31, 2021: Preference share capital, l12% P100 par Ordinary share capital, P100 Share premium Retained earnings 1,000,000 4,000,000 2,000,000 1,000,000 Dividends have been paid on the preference share un in December 31, 2019. Required: Compute the book value per ordinary share and pen preference share under each of the following conditions with respect to preference share: a. Cumulative and fully participating b. Cumulative and fully participating after ordinary share receives 15%: c. Cumulative and participating up to l16% d. Cumulative and nonparticipating e. Noncumulative and nonparticipating
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