J. Carnation Inc. issued 15,000 shares of its P 100 par ordinary share in acquiring a land that was recently appraised at P 1,700,000. The ordinary share is actively selling at P 120 per share. What is the amount of Share Premium to be credited on the issuance of shares?

J. Carnation Inc. issued 15,000 shares of its P 100 par ordinary share in acquiring a land that was recently appraised at P 1,700,000. The ordinary share is actively selling at P 120 per share. What is the amount of Share Premium to be credited on the issuance of shares?

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

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.

Question

J.
Carnation Inc. issued 15,000 shares of its P 100 par ordinary share in acquiring a land that was recently
appraised at P 1,700,000. The ordinary share is actively selling at P 120 per share. What is the amount of
Share Premium to be credited on the issuance of shares?

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