On October 1,2021, Venus Corp owns 15,000 fair value through other comprehensive income share acquired at a cost of P 345,000. The shares represent 15% of the shares outstanding of Mercury Corporation. On the same date, Mercury Corp, declared P 8 cash dividends on its outstanding shares payable to stock holder on October 31. However, on October 31, Mercury Corp issued 1 share for every 5 shares held by the shareholders in lieu of the supposed cash dividends previously declaration. 1. Based on the above data, compute for the dividend income to be recognized in 2021
On October 1,2021, Venus Corp owns 15,000 fair value through other comprehensive income share acquired at a cost of P 345,000. The shares represent 15% of the shares outstanding of Mercury Corporation. On the same date, Mercury Corp, declared P 8 cash dividends on its outstanding shares payable to stock holder on October 31. However, on October 31, Mercury Corp issued 1 share for every 5 shares held by the shareholders in lieu of the supposed cash dividends previously declaration. 1. Based on the above data, compute for the dividend income to be recognized in 2021
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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On October 1,2021, Venus Corp owns 15,000 fair value through other comprehensive income share acquired at a cost of P 345,000. The shares represent 15% of the shares outstanding of Mercury Corporation. On the same date, Mercury Corp, declared P 8 cash dividends on its outstanding shares payable to stock holder on October 31. However, on October 31, Mercury Corp issued 1 share for every 5 shares held by the shareholders in lieu of the supposed cash dividends previously declaration.
1. Based on the above data, compute for the dividend income to be recognized in 2021
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