lnquidating value of P55 per share, what is the book value per ordinary share?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
a. P25.00
b. P26.40
c. P27.20
d. P29.00
e. answer not given

Transcribed Image Text:9. ABC Co. reported this shareholders' equity on December 31,2020:
8%, Cumulative preference share, 20,000 shares P1,000,000
Ordinary share capital, P25 par
Retained Earnings
2,500,000
400,000
Dividends on preference shares have been paid thru 2018 but
have not been declared for 2019 and 2020. IF the preference
shares have liquidating value of P55 per share, what is the book
value per ordinary share?
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