LAVENDER Corporation issued 20,000 shares of its ₱70 par value ordinary share capital and 8,000 of its ₱80 par value preference share capital for a total amount of ₱1,800,000. At this date, the company's ordinary shares are selling at ₱80 per share and the preference shares are at ₱100 per share. What amount of the proceeds should be allocated to the preference shares? Choose an answer, either a or b. Show solution in good accounting form. a.) ₱ 800,000 b. ) 0
LAVENDER Corporation issued 20,000 shares of its ₱70 par value ordinary share capital and 8,000 of its ₱80 par value preference share capital for a total amount of ₱1,800,000. At this date, the company's ordinary shares are selling at ₱80 per share and the preference shares are at ₱100 per share. What amount of the proceeds should be allocated to the preference shares? Choose an answer, either a or b. Show solution in good accounting form. a.) ₱ 800,000 b. ) 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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LAVENDER Corporation issued 20,000 shares of its ₱70 par value ordinary share capital and 8,000 of its ₱80 par value
Choose an answer, either a or b. Show solution in good accounting form.
a.) ₱ 800,000
b. ) 0
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