In 2019, Blue Corporation issued 15,000 shares for P 110 per share of P 100 par convertible Preference share. One share of Preference share may be converted into three shares of P 25 par Ordinary share at the option of the Preference shareholder. On December 31, 2019, all of the Preference shares were converted into Ordinary shares. The market value of the Ordinary share at the conversion date was P 40 per share. How many shares of Ordinary share capital were issued at the conversion date? Using data , in the preparing the journal entry for this transaction, is there an indicated gain or an indicated loss? Using data , how much is the indicated gain (loss)? If the answer is an indicated loss, put a parenthesis. Using data, in the preparing the journal entry for this transaction, how much will be credited to Ordinary Share Capital?

In 2019, Blue Corporation issued 15,000 shares for P 110 per share of P 100 par convertible Preference share. One share of Preference share may be converted into three shares of P 25 par Ordinary share at the option of the Preference shareholder. On December 31, 2019, all of the Preference shares were converted into Ordinary shares. The market value of the Ordinary share at the conversion date was P 40 per share. How many shares of Ordinary share capital were issued at the conversion date? Using data , in the preparing the journal entry for this transaction, is there an indicated gain or an indicated loss? Using data , how much is the indicated gain (loss)? If the answer is an indicated loss, put a parenthesis. Using data, in the preparing the journal entry for this transaction, how much will be credited to Ordinary Share Capital?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 5MC

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Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.

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In 2019, Blue Corporation issued 15,000 shares for P 110 per share of P 100 par convertible Preference share. One share of Preference share may be converted into three shares of P 25 par Ordinary share at the option of the Preference shareholder. On December 31, 2019, all of the Preference shares were converted into Ordinary shares. The market value of the Ordinary share at the conversion date was P 40 per share. How many shares of Ordinary share capital were issued at the conversion date?

Using data , in the preparing the journal entry for this transaction, is there an indicated gain or an indicated loss?

Using data , how much is the indicated gain (loss)? If the answer is an indicated loss, put a parenthesis.

Using data, in the preparing the journal entry for this transaction, how much will be credited to Ordinary Share Capital?

Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.

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