Entity A had 200,000 ordinary shares outstanding all throughout 20x1. In 20x2, share issuances occurred: On April 1, 20,000 shares were issued for cash. On September 30, a 10% bonus issue (share dividend) was declared. On November 1, a 2-for-1 share split was issued. Entity A had the following profits: P1,200,000 in 20x2 and P900,000 in 20x1. What are the earnings per share to be disclosed in Entity A's 20x1 comparative financial statements? O 2.02 2.05 O 2.09 O 2.12

Entity A had 200,000 ordinary shares outstanding all throughout 20x1. In 20x2, share issuances occurred: On April 1, 20,000 shares were issued for cash. On September 30, a 10% bonus issue (share dividend) was declared. On November 1, a 2-for-1 share split was issued. Entity A had the following profits: P1,200,000 in 20x2 and P900,000 in 20x1. What are the earnings per share to be disclosed in Entity A's 20x1 comparative financial statements? O 2.02 2.05 O 2.09 O 2.12

Name: Entity A had 200,000 ordinary sharesoutstanding all throughout 20x1.
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Description: Entity A had 200,000 ordinary sharesoutstanding all throughout 20x1. In 20x2,share issuances occurred: On April 1,20,000 shares were issued for cash. OnSeptember 30, a 10% bonus issue (sharedividend) was declared. On November 1, a2-for-1 share split

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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Concept explainers

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.

Question

Practice Pack

OFFON

Entity A had 200,000 ordinary shares
outstanding all throughout 20x1. In 20x2,
share issuances occurred: On April 1,
20,000 shares were issued for cash. On
September 30, a 10% bonus issue (share
dividend) was declared. On November 1, a
2-for-1 share split was issued. Entity A had
the following profits: P1,200,000 in 20x2
and P900,000 in 20x1. What are the
earnings per share to be disclosed in Entity
A's 20x1 comparative financial statements?
O 2.02
O 2.05
O 2.09
2.12

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