PROBLEM 29 Barcelona Company owns 20,000 shares of ABC Corporation, representing 10% ownership. Barcelona received a share dividend of 2,000 on September 1, 2020, when the carrying value per on ABC Corporation's books was P30 per share, and the market price is P33 per share. ABC Corporation paid a cash dividend of P10 per share on October 31, 2020, declared on September 30, 2020, of record October 15, 2020. Requirements: 1 How much is the dividend income at the end of 2020? 2 Prepare the necessary joumal entries to record September 1, 2020, and October 31, 2020.

PROBLEM 29 Barcelona Company owns 20,000 shares of ABC Corporation, representing 10% ownership. Barcelona received a share dividend of 2,000 on September 1, 2020, when the carrying value per on ABC Corporation's books was P30 per share, and the market price is P33 per share. ABC Corporation paid a cash dividend of P10 per share on October 31, 2020, declared on September 30, 2020, of record October 15, 2020. Requirements: 1 How much is the dividend income at the end of 2020? 2 Prepare the necessary joumal entries to record September 1, 2020, and October 31, 2020.

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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Question

PROBLEM 29
Barcelona Company owns 20,000 shares of ABC Corporation, representing 10%
ownership. Barcelona received a share dividend of 2,000 on September 1, 2020, when
the carrying value per on ABC Corporation's books was P30 per share, and the market
price is P33 per share. ABC Corporation paid a cash dividend of P10 per share on
October 31, 2020, declared on September 30, 2020, of record October 15, 2020.
Requirements:
1. How much is the dividend income at the end of 2020?
2. Prepare the necessaryjoumal entries to record September 1,2020, and October 31, 2020.

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