Problem 20-5 (IAA) Le Compeny was organied at the begioning of the eurnt year. The entity previded the lowing trt alfeting hareholders equity The oorporstien shares with par value of PI00. authoried i s00.000 iery 1 Teenty-five percent of the eihried ntinary enpital wa ubscribed for at par vale 3. Coliected twesty-fore peent of the beription & Fell collection ws reied n s0.000 ahares gnlly wbecribed 10.000 ahae ongly S laund the shae certid shares. fateethe flly paid 10.00 Land with fir value of Po0,000 and s building there feirly valued at PL00.000 wee sopied fir 30,000 ahares
Problem 20-5 (IAA) Le Compeny was organied at the begioning of the eurnt year. The entity previded the lowing trt alfeting hareholders equity The oorporstien shares with par value of PI00. authoried i s00.000 iery 1 Teenty-five percent of the eihried ntinary enpital wa ubscribed for at par vale 3. Coliected twesty-fore peent of the beription & Fell collection ws reied n s0.000 ahares gnlly wbecribed 10.000 ahae ongly S laund the shae certid shares. fateethe flly paid 10.00 Land with fir value of Po0,000 and s building there feirly valued at PL00.000 wee sopied fir 30,000 ahares
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Problem 5
![Problem 20-8 (IAA)
Lagen Company was organined at the beginning sf the
current year.
The entity previded the following trastions alfecting
harcholders equity:
L The corporation was authorined to iasue 100,000 ondinary
shares with par value of PI00.
1 Twenty five percent of the itheried ondinary capital
was subseribed for at par valoe.
3. Collected twenty five percent of the subecription.
4 Fell collection was reorived on 10.000 aharen originally
ubecribed
S Iaued the share certifeates the fully paid 10,000
shares
6 Land with fair value of P8o0,000 and a building thereon
fsirly valued at P2,500,000 were acquired for 30,000
shares
1. lasued 10,000 shares for an outatanding bank lean of
PI,300,000, ineluding secrued intreest of P200,000, On
this date, shares are guoted at PI20 per share
* Net inome for the current year amousted to P,000,000
Required:
*Prepare journal entries uning jnal endry methad
Preent the ahareholders' equity.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3beaf3c4-fdba-44c5-89f4-0431c53fb453%2F14acaea5-50b1-44c7-85c3-328a6a6b3a2f%2Fk5kgt3t_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Problem 20-8 (IAA)
Lagen Company was organined at the beginning sf the
current year.
The entity previded the following trastions alfecting
harcholders equity:
L The corporation was authorined to iasue 100,000 ondinary
shares with par value of PI00.
1 Twenty five percent of the itheried ondinary capital
was subseribed for at par valoe.
3. Collected twenty five percent of the subecription.
4 Fell collection was reorived on 10.000 aharen originally
ubecribed
S Iaued the share certifeates the fully paid 10,000
shares
6 Land with fair value of P8o0,000 and a building thereon
fsirly valued at P2,500,000 were acquired for 30,000
shares
1. lasued 10,000 shares for an outatanding bank lean of
PI,300,000, ineluding secrued intreest of P200,000, On
this date, shares are guoted at PI20 per share
* Net inome for the current year amousted to P,000,000
Required:
*Prepare journal entries uning jnal endry methad
Preent the ahareholders' equity.
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