Kiwi Company was incorporated on July 1, 2021, with P8,000,000 from the issuance of shares and borrowed funds of P1,200,000. During the remainder of 2021, the company profit was P400,000. On December 15, Kiwi paid P32,000 cash dividends. No additional activities affected the owner’s equity in 2021. On December 31, 2021, Kiwi Company’s liabilities had increased to P1,504,000. In Kiwi’s December 31, 2021 statement of financial position, total assets should be reported at a. P12,576,000 b. P9,600,000 c. P9,872,000 d. P11,072,000
Kiwi Company was incorporated on July 1, 2021, with P8,000,000 from the issuance of shares and borrowed funds of P1,200,000. During the remainder of 2021, the company profit was P400,000. On December 15, Kiwi paid P32,000 cash dividends. No additional activities affected the owner’s equity in 2021. On December 31, 2021, Kiwi Company’s liabilities had increased to P1,504,000. In Kiwi’s December 31, 2021 statement of financial position, total assets should be reported at a. P12,576,000 b. P9,600,000 c. P9,872,000 d. P11,072,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
5. Kiwi Company was incorporated on July 1, 2021, with P8,000,000 from the issuance of shares and borrowed funds of P1,200,000. During the remainder of 2021, the company profit was P400,000. On December 15, Kiwi paid P32,000 cash dividends. No additional activities affected the owner’s equity in 2021. On December 31, 2021, Kiwi Company’s liabilities had increased to P1,504,000. In Kiwi’s December 31, 2021 statement of financial position, total assets should be reported at
a. P12,576,000
b. P9,600,000
c. P9,872,000
d. P11,072,000
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 2 steps
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