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Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Chapter 9- Operations, Dividends, Book Value per Share, and Earnings per Share
Preference shares are cumulative with dividends in arrears for 5 years at the
beginning of 2010 and with a liquidation value of P120.
What is the book value per share of preference share capital?
a.
P100
с.
P170
b. P120
d.
P180](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F36d9f053-59c9-4f70-b559-47c679aa4659%2F9cfe38d7-1010-4389-8e36-bc2a877bc8d4%2F7k8gyuo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Chapter 9- Operations, Dividends, Book Value per Share, and Earnings per Share
Preference shares are cumulative with dividends in arrears for 5 years at the
beginning of 2010 and with a liquidation value of P120.
What is the book value per share of preference share capital?
a.
P100
с.
P170
b. P120
d.
P180
![The shareholders' equity of NNN Company on December 31, 2014 follows:
10% Preference Share Capital, P100 par
Ordinary Share Capital, P60 par S
Preference Share Premium
Ordinary Share Premium
Retained Earnings
Total Shareholders' Equity
3,000
P 500,000
3,000,000
50,000
250,000
300,000
P4,100,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F36d9f053-59c9-4f70-b559-47c679aa4659%2F9cfe38d7-1010-4389-8e36-bc2a877bc8d4%2Frbz9goq_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The shareholders' equity of NNN Company on December 31, 2014 follows:
10% Preference Share Capital, P100 par
Ordinary Share Capital, P60 par S
Preference Share Premium
Ordinary Share Premium
Retained Earnings
Total Shareholders' Equity
3,000
P 500,000
3,000,000
50,000
250,000
300,000
P4,100,000
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