Pluto Company began operations on January 1, of 500,000 preference shares of P5 par value of which 30% of which was issued for P7 and 950,000 ordinary shares of P10 par value of which half were issued on January 1, 2019 at P15 per share. During the year, the company had a net income of P1,250,000 and declared dividends of P250,000. The following were the transactions in 2020: a. Issued 100,000 ordinary shares for P17 per share. b. Issued 150,000 preference shares for P8 per share. c. Authorized the purchase of a custom made machine to be delivered in January 2021. Pluto Company appropriated P300,000 of accumulated profits for the purchase of the machine. d. Issued additional 50,000 preference shares for P9 per share. e. Net income for the year, P1,200,000. Dividends of P600,000 were declared for 2020 to shareholders of record on January 15, 2021 to be paid on March 15, 2021 What is the total contributed capital as of December 31, 20207

Pluto Company began operations on January 1, of 500,000 preference shares of P5 par value of which 30% of which was issued for P7 and 950,000 ordinary shares of P10 par value of which half were issued on January 1, 2019 at P15 per share. During the year, the company had a net income of P1,250,000 and declared dividends of P250,000. The following were the transactions in 2020: a. Issued 100,000 ordinary shares for P17 per share. b. Issued 150,000 preference shares for P8 per share. c. Authorized the purchase of a custom made machine to be delivered in January 2021. Pluto Company appropriated P300,000 of accumulated profits for the purchase of the machine. d. Issued additional 50,000 preference shares for P9 per share. e. Net income for the year, P1,200,000. Dividends of P600,000 were declared for 2020 to shareholders of record on January 15, 2021 to be paid on March 15, 2021 What is the total contributed capital as of December 31, 20207

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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