On February 1,2020, Neversaynever Corporation declared a bonus issue entitling its shareholders to one additional share for each share held, distributable on April 1,2020. The market value of the company’s share was P10 on Feb. 1, and P 12 on April 1. The par value was P5 per share. The company has 600,000 ordinary shares outstanding. The amount of Retained Earnings capitalized for the bonus issue amounts to- a. P7,200,000 b. P6,000,000 c. P3,000,000 d. P-0-

Q: On January 1, 2021, Heaven Inc. reported the following shareholders' equity:   Preference share…

A: Depreciation expense is the portion of cost of the fixed assets to be written off periodically in…

Q: TJH Corporation was organized on January 1, 2020, with authorized capital of 200,000 shares of P10…

A: Formula: Share capital = Number of shares issued x Issue price.

Q: The shareholders’ equity section of Haemul Pajeon Co. as of Dec. 31, 2019, contained the ff.…

A: Retained Earnings: When a company's direct and indirect expenses, income taxes, and dividends to…

Q: On January 1, 2020 GGB ltd. Had 2,500,000 Class A common shares outstanding. On April 1, the company…

A: Earning per share is the calculation of the earnings of the company attributable to each share of…

Q: On October 1, 2021, SIKAP Corporation owns 10,000 FVOCI shares acquired at a cost of P120,000. The…

A: a) calculation of dividend income - SIKAP owns 10000 FVOCI shares which represent 10% of the total…

Q: On January 1,2020, Red Bull Corporation issued 10,000 share appreciation rights to its selected…

A: Share appreciation rights are rights given to shareholders that is related with cash equivalent of a…

Q: Avalanche Inc. revealed the following information for the year ended December 31, 2021: Preference…

A: Legal capital is the par value of total outstanding shares . It is that amount of company capital…

Q: On August 1, 2021, Comical Company issued rights to stockholders to subscribe to additional share of…

A: Right Shares - It is refer to the issuance of those shares which was offered by the company to their…

Q: ABC SAOG has in issue 2,000,000 ordinary shares of OMR 0.500 fully paid. On 31st Dec 2018 management…

A: given that, number of shares =  2,000,000 ordinary shares  On 31st Dec 2018 management board has…

Q: On July 1, 2021, JKJ Corporation purchased 100 common shares of JMK Ltd. at $20 per share. JKJ…

A: Solution: As shares are expected to be sold with in a year, therefore investment should be…

Q: Ordinary Share Capital, P20 par. Share Premium. P8,000,000 2,400,000 1,275,000 Retained Earnings.…

A: when companies purchase its own share from the stock market it is called buy back. Buyback allows…

Q: 22. A company grants 100 Share appreciation rights (SAR), payable in cash, to an employee on 1/1/Y1.…

A: In accounting, the process that the company uses to record SAR agreements is to accrue a liability…

Q: On August 1, 2021, Comical Company issued rights to stockholders to subscribe to additional share of…

A: Comical Company issued rights to stockholders to subscribe to an additional share of its common…

Q: Honest Company was incorporated on January 1, 2020 with P5,000,000 from the issuance of share…

A: Liabilities: It is the amount the company is liable to payoff in the accounting life of the company.…

Q: Haru Corporation reported the following shareholders’ equity on January 1, 2020. > Ordinary Share…

A: RE refers to Retained Earnings which is the amount of NI (Net Income) that is left or retained by…

Q: 2021, the board of directors of ABC Co. declares a 10% share dividend. The market price of ABC’s…

A: Explanation of Concept Dividend is the part of earning which is been distributed to the shareholder…

Q: On August 1, 2021, Comical Company issued rights to stockholders to subscribe to additional share of…

A: A publicly traded company can raise more money through a right issue of shares, also known as a…

Q: The shareholders’ equity section of Haemul Pajeon Co. as of Dec. 31, 2019, contained the ff.…

A: No. of shares issued under bonus issue = No. of shares outstanding x bonus rate Amount charged to…

Q: apital (P25 par value, 100,000 shares) 2,500,000 Share premium 3,000,000 Retained earnings…

A: Heaven Inc discovered late in 2021 that 2020 depreciation expense was overstated by 500,000.…

Q: retained earnings?

A: Definition: Retained Earnings: It is the amount that is obtained after distribution of dividend to…

Q: On Jan. 1, 2020, Terra Company established a share appreciation rights plan for the executives. The…

A: calculation of compensation income are as follows

Q: Delta NV has share capital of $l m in shares of $0.25 each. At 31 May 2019 shares had a market value…

A: Right Issue :— It is the new shares issued to existing equity shareholders at lower price.…

Q: On December 31, 2021, WHITE Company reports the following amounts in its shareholders' equity…

A: The book value per share is calculated as shareholders' equity divided by number of issued and…

Q: COVAX Corporation was organized on January 1, 2020, at which date it issued 100,000 shares of P10…

A: In case of a company the shareholders are the owners of the company.

Q: On July 1, 2018, Alaska Corp. issued 6,000 shares of its P 100 par ordinary share to Atty. Black as…

A: Introduction: A corporation's stock shares are measured in shares. Shares serve as a financial asset…

Q: The shareholders' equity of Naruto Corporation as of March 1, 2020 is presented below: Ordinary…

A: Dividend is the amount paid by a company to its shareholders when they earn a good amount of profit…

Q: On March 1, 2019, Mall Co. issued 60,000, P50 par value, ordinary shares and 20,000, P100 par value,…

A: Here in this question, we are required to determine how much proceeds should be allocated to…