Lord Aguilar Corp. plans to declare and distribute a dividend in December 2019. There are 20,000 share of 7% preference shares, par value P50, and 400,000 outstanding ordinary shares, P1 par value. No dividend was paid in the previous year. Required: Determine the amount of the dividends that should be paid to the preference and ordinary shareholders if the preference shares 1. Cumulative and nonparticipating and the total amount that the board of directors has specified for dividends is (a) P100,000, (b) P168,000, (c) P200,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Lord Aguilar Corp. plans to declare and distribute a dividend in December 2019. There are 20,000 share of 7% preference shares, par value P50, and 400,000 outstanding ordinary shares, P1 par value. No dividend was paid in the previous year.

Required: Determine the amount of the dividends that should be paid to the preference and ordinary shareholders if the preference shares

1. Cumulative and nonparticipating and the total amount that the board of directors has specified for dividends is (a) P100,000, (b) P168,000, (c) P200,000

2. Cumulative and participating and the total amount that the board of directors has specified for dividends is (a) P100,000, (b) P168,000, (c) P200,000

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