Summit of Hope has an authorized capital of 10,000 shares of P100 par, 8% cumulative preference share and 20,000 shares of P100 par Ordinary Shares. The equity balances at December 31, 20x5 are as follows: Cumulative Preferred share P 500,000 capital Ordinary share capital 1,100,000 Share premium 200,000 Retained Earnings 260,000 Treasury Stock, ordinary- 1,000 (150,000) shares Dividends on preferred shares are in arrears for 20x4 and 20x5. 1. Compute for the Book Value of the Ordinary Shares per share 2. Compute for the Book Value of the Preferred Stock per share

Summit of Hope has an authorized capital of 10,000 shares of P100 par, 8% cumulative preference share and 20,000 shares of P100 par Ordinary Shares. The equity balances at December 31, 20x5 are as follows: Cumulative Preferred share P 500,000 capital Ordinary share capital 1,100,000 Share premium 200,000 Retained Earnings 260,000 Treasury Stock, ordinary- 1,000 (150,000) shares Dividends on preferred shares are in arrears for 20x4 and 20x5. 1. Compute for the Book Value of the Ordinary Shares per share 2. Compute for the Book Value of the Preferred Stock per share

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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The following are data pertaining to ABC Corporation: Ordinary share Capital, with par value of P50, 18,500 issued shares 925.000 Additional Paid in Capital 125,000 Retained Earnings 4,500,000 Shareholder's Equity 5,550,000 The following transactions took place: Aug 10-Reacquired 6,000 ordinary shares for treasury at P60 per share Aug 12- 2,500 treasury shares were sold at P62 per share Aug 20- Another 1,000 treasury shares were sold at P55 per share Aug 31- 1,000 treasury shares were retired Required: Journalize each transaction and compute for the new balance of Shareholder's Equity.
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: Preferred 2% Stock, $100 par (100,000 shares authorized, 80,000 shares issued) $8,000,000 Paid-In Capital in Excess of Par—Preferred Stock 440,000 Common Stock, $5 par (5,000,000 shares authorized, 4,000,000 shares issued) 20,000,000 Paid-In Capital in Excess of Par—Common Stock 2,280,000 Retained Earnings 115,400,000 During the year, the corporation completed a number of transactions affecting the stockholders’ equity. They are summarized as follows: a. Issued 220,000 shares of common stock at $14, receiving cash. b. Issued 12,000 shares of preferred 2% stock at $110. c. Purchased 160,000 shares of treasury common for $10 per share. d. Sold 105,000 shares of treasury common for $16 per share. e. Sold 40,000 shares of treasury common for $8 per share. f. Declared cash dividends of $2.00 per share on preferred stock and $0.08 per share on…
9A. How much is the excess of par to be used for book value per share computation? 9B. How much is the BOOK VALUE PER SHARE for PREFERENCE shares considering that the preference shares are cumulative and participating? (Present answer in 2 decimal places, example: XX.XX) On December 31, 2021, the statement of financial position of FRUITS Company showed the following shareholders equity accounts: • Ordinary shares, par P50, authorized 100,000 shares, issued 85,000 shares, in treasury 7,500 shares - P4,250,000 12% Preference shares, par P75, authorized 50,000 shares, issued 20,000 shares, in treasury 4,000 shares-P1,500,000 Share premium in excess of par-P 862,500 . Reserve for Treasury shares - 725,000 • Treasury ordinary shares-435,000, Treasury preference shares-P 290,000 • Retained earnings, unrestricted-P 2,168,000 Net income for the year - 762,000 Cash dividends declared - P 194,000; 2 years in arrears, current year is not yet included.
On June 30, 2020, when ABC shares were selling for $ 65 each, the equity accounts had the following balances: Common shares (par value $ 50: 50,000 issued) $ 2,500,000 Capital contributed in excess of par value 600,000 Retained earnings 4,200,000 A 100% share dividend is declared and distributed, the balance of the Common Shares account after recording the dividend will be: a. $2,500,000 b. $7,300,000 c. $3,100,000 d. $5,000,000
Olive Corporation has 75,000 outstanding shares of P5 par value ordinary share capital and 30,000 shares outstanding 5% P100 par value preference share capital. During October, the board of directors made the following dividend declarations: October 4 - Preference dividend, payable on January 7 to preference shareholders of record on December 15. October 21 - P3 per share dividend payable on January 7 to ordinary shareholders of record on December 15. Compute for the total cash dividends distributed to: Preference shareholders: Ordinary shareholders:
The shareholders’ equity section of Superior Corporation’s balance sheet as of December 31, Year 3, is as follows: Shareholders’ Equity Preferred stock, $100 par value; authorized, 300,000 shares; issued, 34,500 shares $3,450,000 Common stock, $5 par value; authorized, 2,000,000 shares; issued, 405,000 shares 2,025,000 Paid-in capital in excess of par—preferred 97,000 Paid-in capital in excess of par—common 897,000 Retained earnings 3,200,000 $9,669,000 The following events occurred during Year 4: Jan. 5 10,000 shares of authorized and unissued common stock were sold for $7 per share. 16 10,000 shares of authorized and unissued preferred stock were sold for $108 per share. Apr. 1 76,000 shares of common stock were repurchased for the treasury at a price of $16 per share. Superior uses the cost method to account for treasury stock. Sept. 1 3,500 shares of preferred stock are issued in exchange for a piece of land. The land has an appraised value of…
In Munn's Shareholders' equity, how many ordinary shares are outstanding?