Manapat Products Inc. was formed at the beginning of the year. Ordinary share has a P 25 par value. The following entries affected the shareholders' equity during its first year's operations: а. Cash 150 000 Ordinary Shares Share Premium – Ordinary 125 000 25 000 b. Organization Expense Ordinary Share Share Premium - Ordinary 75 000 62 500 12 500 c. Cash Office Equipment Building 29 000 10 750 30 000 Accounts Payable Ordinary Shares Share Premium – Ordinary 29 750 25 000 15 000 d. Cash Ordinary Shares Share Premium – Ordinary 60 000 37 500 22 500 e. Cash Dividends 7 500 Cash Dividends Payable 7 500 f. Cash Dividends Payable Cash 7 500 7 500 g. Income Summary Retained Earnings 30 000 30 000 h. Retained Earnings Cash Dividends 7 500 7 500
Manapat Products Inc. was formed at the beginning of the year. Ordinary share has a P 25 par value. The following entries affected the shareholders' equity during its first year's operations: а. Cash 150 000 Ordinary Shares Share Premium – Ordinary 125 000 25 000 b. Organization Expense Ordinary Share Share Premium - Ordinary 75 000 62 500 12 500 c. Cash Office Equipment Building 29 000 10 750 30 000 Accounts Payable Ordinary Shares Share Premium – Ordinary 29 750 25 000 15 000 d. Cash Ordinary Shares Share Premium – Ordinary 60 000 37 500 22 500 e. Cash Dividends 7 500 Cash Dividends Payable 7 500 f. Cash Dividends Payable Cash 7 500 7 500 g. Income Summary Retained Earnings 30 000 30 000 h. Retained Earnings Cash Dividends 7 500 7 500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Manapat Products Inc. was formed at the beginning of the year. Ordinary
share has a P 25 par value. The following entries affected the shareholders'
equity during its first year's operations:
а. Cash
150 000
Ordinary Shares
Share Premium – Ordinary
125 000
25 000
b. Organization Expense
Ordinary Share
Share Premium - Ordinary
75 000
62 500
12 500
c. Cash
Office Equipment
Building
29 000
10 750
30 000
Accounts Payable
Ordinary Shares
Share Premium – Ordinary
29 750
25 000
15 000
d. Cash
Ordinary Shares
Share Premium – Ordinary
60 000
37 500
22 500
e. Cash Dividends
7 500
Cash Dividends Payable
7 500
f. Cash Dividends Payable
Cash
7 500
7 500
g. Income Summary
Retained Earnings
30 000
30 000
h. Retained Earnings
7 500
Cash Dividends
7 500
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